-----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, Dgbz5GeCHf5dU2txQNRQwSC8gnydbBnPlJYvYT0AXCxbfPKbAn4BwJ+Nwb60iRn1 oMu0qc6e4biLDxvbzQxNpg== 0000797468-97-000002.txt : 19970127 0000797468-97-000002.hdr.sgml : 19970127 ACCESSION NUMBER: 0000797468-97-000002 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19970123 ITEM INFORMATION: Other events FILED AS OF DATE: 19970124 SROS: NYSE SROS: PSE FILER: COMPANY DATA: COMPANY CONFORMED NAME: OCCIDENTAL PETROLEUM CORP /DE/ CENTRAL INDEX KEY: 0000797468 STANDARD INDUSTRIAL CLASSIFICATION: CRUDE PETROLEUM & NATURAL GAS [1311] IRS NUMBER: 954035997 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-09210 FILM NUMBER: 97510617 BUSINESS ADDRESS: STREET 1: 10889 WILSHIRE BLVD CITY: LOS ANGELES STATE: CA ZIP: 90024 BUSINESS PHONE: 3102088800 8-K 1 FORM 8-K ============================================================================== 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) JANUARY 23, 1997 OCCIDENTAL PETROLEUM CORPORATION (Exact name of registrant as specified in its charter) DELAWARE 1-9210 95-4035997 (State or other jurisdiction (Commission (I.R.S. Employer of incorporation) File Number) Identification No.) 10889 WILSHIRE BOULEVARD, LOS ANGELES, CALIFORNIA 90024 (Address of principal executive offices) (ZIP code) Registrant's telephone number, including area code: (310) 208-8800 ============================================================================== Item 5. Other Events - ------- ------------ Occidental Petroleum Corporation reported on January 23, 1997 net income of $159 million ($.41 per share) for the fourth quarter of 1996, compared with net income for the fourth quarter of 1995 of $7 million (a loss of $.05 per share). Fourth quarter 1995 income before special items was $79 million. The fourth quarter of 1995 results included a $132 million pretax charge relating to reorganizations of the oil and gas and natural gas transmission divisions. Sales were $2.8 billion for the fourth quarter of 1996, compared with $2.5 billion for the same period of 1995. Oil and gas divisional earnings were $155 million for the fourth quarter of 1996, compared with earnings before special items of $64 million for the fourth quarter of 1995. Divisional results for the fourth quarter of 1995 were a loss of $31 million after inclusion of a $95 million charge related to reorganization costs. The increase in 1996 earnings resulted primarily from higher worldwide crude oil and domestic natural gas prices. Natural gas transmission divisional earnings were $75 million for the fourth quarter of 1996, compared with earnings before special items of $59 million for the fourth quarter of 1995. Divisional earnings after special items were $22 million for the fourth quarter of 1995. The 1995 earnings included a $37 million charge related to reorganization costs. The increase in 1996 earnings resulted primarily from higher margins. Chemical divisional earnings were $110 million for the fourth quarter of 1996, compared with $167 million for the fourth quarter of 1995. The decline in 1996 earnings resulted primarily from lower product margins for petrochemical and chlor-alkali products. Interest expense in the fourth quarter of 1996 was $102 million, compared with $130 million for the fourth quarter of 1995. The decline in interest is attributable to lower average interest rates and lower average debt levels resulting primarily from redemptions of high-coupon debt. Unallocated other expenses were $20 million for the fourth quarter of 1996, compared with $7 million for the fourth quarter of 1995. The net increase results mainly from the initial establishment of the MidCon ESOP, special project expenses and lower equity earnings from unconsolidated subsidiaries. For the total year 1996, Occidental's net income totaled $668 million or $1.77 per share, compared with $511 million or $1.31 per share in 1995. Total year 1996 income before special items was $643 million, compared with 1995 income of $623 million. Sales were $10.6 billion for 1996, compared with $10.4 billion for 1995. 1 SUMMARY OF DIVISIONAL NET SALES AND EARNINGS (Millions, except per-share amounts) Fourth Quarter Twelve Months ---------------- ---------------- Periods Ended December 31 1996 1995 1996 1995 ================================== ======= ======= ======= ======= DIVISIONAL NET SALES Oil and gas $ 900 $ 778 $ 3,680 $ 3,018 Natural gas transmission 797 578 2,574 2,038 Chemical 1,097 1,117 4,307 5,370 Other (2) - (4) (3) ------- ------- ------- ------- $ 2,792 $ 2,473 $10,557 $10,423 ================================== ======= ======= ======= ======= DIVISIONAL EARNINGS Oil and gas $ 155 $ (31) $ 480 $ 45 Natural gas transmission 75 22 296 213 Chemical 110 167 668 1,080 ------- ------- ------- ------- 340 158 1,444 1,338 UNALLOCATED CORPORATE ITEMS Interest expense, net (102) (130) (451) (540) Income taxes (a) (59) (14) (263) (295) Other (20) (7) (32) 8 ------- ------- ------- ------- INCOME BEFORE EXTRAORDINARY GAIN(LOSS), NET 159 7 698 511 Extraordinary gain(loss), net - - (30) - ------- ------- ------- ------- NET INCOME 159 7 668 511 Preferred dividends (24) (23) (93) (93) ------- ------- ------- ------- EARNINGS(LOSS) APPLICABLE TO COMMON STOCK $ 135 $ (16) $ 575 $ 418 ======= ======= ======= ======= PRIMARY EARNINGS PER COMMON SHARE Income before extraordinary gain(loss), net $ .41 $ (.05) $ 1.86 $ 1.31 Extraordinary gain(loss), net - - (.09) - ------- ------- ------- ------- PRIMARY EARNINGS PER SHARE $ .41 $ (.05) $ 1.77 $ 1.31 ======= ======= ======= ======= FULLY DILUTED EARNINGS PER COMMON SHARE Income before extraordinary gain(loss), net $ .40 $ (.05) $ 1.81 $ 1.30 Extraordinary gain(loss), net - - (.08) - ------- ------- ------- ------- FULLY DILUTED EARNINGS PER SHARE $ .40 $ (.05) $ 1.73 $ 1.30 ======= ======= ======= ======= AVERAGE COMMON SHARES OUTSTANDING 329.5 318.8 324.1 318.2 ================================== ======= ======= ======= ======= (a) The twelve months of 1996 includes a $100 million credit for reduction in federal income tax liabilities no longer required. Also included is an offset for charges and credits in lieu of U.S. federal income taxes allocated to the divisions. Divisional earnings in the fourth quarter of 1996 have benefited from credits allocated by $4 million, $12 million and $6 million at oil and gas, natural gas transmission and chemical, respectively. Divisional earnings in the fourth quarter of 1995 have benefited from credits allocated by $4 million, $12 million and $7 million at oil and gas, natural gas transmission and chemical, respectively. 2 SUMMARY OF OPERATING STATISTICS Fourth Quarter Twelve Months -------------- ------------- Periods Ended December 31 1996 1995 1996 1995 ===================================== ====== ====== ====== ====== NET OIL, GAS AND LIQUIDS PRODUCTION PER DAY United States Crude oil and condensate (thousands of barrels) 60 62 57 64 Natural gas liquids (thousands of barrels) 14 10 13 11 Natural gas (millions of cubic feet) 589 584 601 612 Other Western Hemisphere Crude oil and condensate (thousands of barrels) 123 127 128 129 Eastern Hemisphere Crude oil and condensate (thousands of barrels) 99 100 101 85 Natural gas (millions of cubic feet) 112 125 115 127 NATURAL GAS TRANSMISSION DELIVERIES Sales (billions of cubic feet) 204 203 699 648 Transportation (billions of cubic feet) 418 421 1,555 1,533 CAPITAL EXPENDITURES (millions) $ 405 $ 373 $1,185 $ 979 ====== ====== ====== ====== DEPRECIATION, DEPLETION AND AMORTIZATION OF ASSETS (millions) $ 234 $ 214 $ 921 $ 922 ===================================== ====== ====== ====== ====== 3 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 hereunto duly authorized. OCCIDENTAL PETROLEUM CORPORATION (Registrant) DATE: January 24, 1997 S. P. Dominick, Jr. ----------------------------------- S. P. Dominick, Jr., Vice President and Controller (Chief Accounting and Duly Authorized Officer) 4 -----END PRIVACY-ENHANCED MESSAGE-----