|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1-3492
|
No.
75-2677995
|
|
(Commission
File Number)
|
(IRS
Employer Identification No.)
|
|
|
|
|
1401
McKinney, Suite 2400, Houston, Texas
|
77010
|
|
(Address
of Principal Executive Offices)
|
(Zip
Code)
|
|
|
|
|
|
o
|
Written
communications pursuant to Rule 425 under the Securities Act (17
CFR
230.425)
|
|
o
|
Soliciting
material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
|
|
o
|
Pre-commencement
communications pursuant to Rule 14d-2(b) under the Exchange Act
(17 CFR
240.14d-2(b))
|
|
o
|
Pre-commencement
communications pursuant to Rule 13e-4(c) under the Exchange Act
(17 CFR
240.13e-4(c))
|
|
ITEM
2.02
|
Results
of Operations and Financial Condition
|
|
|
·
|
Halliburton’s
Sperry Drilling Services commercialized the industry’s first 4 ¾”
formation testing-while-drilling suite (GeoTap®) in the Gulf of Mexico in
conjunction with Sperry’s slimhole rotary steerable system, real-time
resistivity, gamma, neutron, density, sonic, and vibration sensors.
The
operator chose to include the slimhole GeoTap® tester in the bottomhole
assembly as high wellbore inclinations made wireline logging risky
and
expensive. Using the new slimhole bottomhole assembly technology
saved the
operator an estimated four days relative to the use of conventional
wireline techniques.
|
|
|
·
|
Halliburton
introduced its new Zero-D™ diesel-free liquid gel concentrates for
hydraulic fracturing. This industry advancement will help operators
move
to higher levels of performance with less environmental impact.
Zero-D
formulation is designed to be used with Halliburton’s most popular
fracturing fluid systems, including SilverStim™, Delta Frac™, DeepQuest™,
and SeaQuest™ fluids, and is applicable over a broad range of depths and
temperatures in virtually any formation where fracturing can help
improve
production.
|
|
|
·
|
WellDynamics
and BP have signed a multi-well contract to provide SmartWell® downhole
flow control and ancillary completion equipment for managing water
injection in BP’s deepwater Greater Plutonio development in Angola. The
project will require some 40 wells with approximately equal numbers
of oil
production wells and water injection wells. The water injection
wells will
provide reservoir pressure support and sweep efficiency to assist
optimal
reserve recovery. Three additional gas injection wells will
be used
for reservoir pressure support and to dispose of associated gas
production.
|
|
|
·
|
Landmark
released its commercial version of DecisionSpace® Nexus™ software, a
breakthrough technology developed in collaboration with BP that
is
designed to perform reservoir simulation on both simple and complex
reservoirs at unprecedented speed. This next generation technology
gives
reservoir engineers and asset teams a productivity tool that, on
average,
enables reservoir simulation five times faster than existing technology.
This increased processing speed, along with easy data transfer
and
streamlined workflows, improves productivity. In addition, the
ability to
simulate the surface and subsurface simultaneously creates a much
more
accurate representation of their asset, assisting in better, more
confident decisions.
|
|
|
·
|
Yemen
LNG Company Ltd. has awarded KBR and its joint venture partners,
Technip
of France and JGC Corporation of Japan, a lump-sum turnkey contract
valued
at more than $2.0 billion to provide engineering, procurement,
construction, pre-commissioning, commissioning, start-up, and operations
services for Yemen’s first liquefied natural gas (LNG) plant. Consisting
of two liquefaction trains with a combined capacity of 6.7 million
tons
per year, the LNG plant will be located in the port of Balhaf on
the
southern coast of Yemen. The target for start-up of Train 1 is
the end of
2008, with Train 2 due to come on-line approximately five months
later.
|
|
|
·
|
KBR
and JGC Corporation signed a letter of intent with Qatar Shell
GTL
Limited, a Royal Dutch Shell plc subsidiary, for project management
of the
Pearl gas-to- liquids (GTL) project in Ras Laffan, Qatar, to a
joint
venture between JGC and KBR. In addition to the development of
offshore
upstream gas production facilities, Shell’s Pearl GTL project includes
developing an onshore GTL plant that will produce 140,000 barrels
per day
of GTL products and about 100,000 barrels of oil equivalent per
day of
natural gas liquids.
|
|
|
|
Three
Months
|
|
Three
Months
|
|
|||||
|
|
|
Ended
|
|
Ended
|
|
|||||
|
|
|
September
30
|
|
June
30
|
|
|||||
|
|
|
2005
|
|
2004
|
|
2005
|
|
|||
|
Revenue:
|
|
|
|
|
|
|
|
|||
|
Production
Optimization
|
|
$
|
1,107
|
|
$
|
886
|
|
$
|
1,046
|
|
|
Fluid
Systems
|
|
|
731
|
|
|
618
|
|
|
699
|
|
|
Drilling
and Formation Evaluation
|
|
|
588
|
|
|
450
|
|
|
566
|
|
|
Digital
and Consulting Solutions
|
|
|
171
|
|
|
154
|
|
|
160
|
|
|
Total
Energy Services Group
|
|
|
2,597
|
|
|
2,108
|
|
|
2,471
|
|
|
Government
and Infrastructure
|
|
|
1,884
|
|
|
1,993
|
|
|
2,039
|
|
|
Energy
and Chemicals
|
|
|
614
|
|
|
689
|
|
|
653
|
|
|
Total
KBR
|
|
|
2,498
|
|
|
2,682
|
|
|
2,692
|
|
|
Total
revenue
|
|
$
|
5,095
|
|
$
|
4,790
|
|
$
|
5,163
|
|
|
Operating
income (loss):
|
|
|
|
|
|
|
|
|
|
|
|
Production
Optimization
|
|
$
|
263
|
|
$
|
222
|
|
$
|
245
|
|
|
Fluid
Systems
|
|
|
139
|
|
|
113
|
|
|
135
|
|
|
Drilling
and Formation Evaluation
|
|
|
129
|
|
|
62
|
|
|
126
|
|
|
Digital
and Consulting Solutions
|
|
|
35
|
|
|
17
|
|
|
16
|
|
|
Total
Energy Services Group
|
|
|
566
|
|
|
414
|
|
|
522
|
|
|
Government
and Infrastructure
|
|
|
149
|
|
|
(6
|
)
|
|
73
|
|
|
Energy
and Chemicals
|
|
|
1
|
|
|
(44
|
)
|
|
49
|
|
|
Total
KBR
|
|
|
150
|
|
|
(50
|
)
|
|
122
|
|
|
General
corporate
|
|
|
(26
|
)
|
|
(22
|
)
|
|
(37
|
)
|
|
Total
operating income
|
|
|
690
|
|
|
342
|
|
|
607
|
|
|
Interest
expense
|
|
|
(51
|
)
|
|
(51
|
)
|
|
(51
|
)
|
|
Interest
income
|
|
|
17
|
|
|
13
|
|
|
9
|
|
|
Foreign
currency, net
|
|
|
(2
|
)
|
|
1
|
|
|
(7
|
)
|
|
Other,
net
|
|
|
(2
|
)
|
|
(2
|
)
|
|
(3
|
)
|
|
Income
from continuing operations before income taxes and minority
interest
|
|
|
652
|
|
|
303
|
|
|
555
|
|
|
Provision
for income taxes
|
|
|
(132
|
)
|
|
(111
|
)
|
|
(154
|
)
|
|
Minority
interest in net income of subsidiaries
|
|
|
(21
|
)
|
|
(6
|
)
|
|
(10
|
)
|
|
Income
from continuing operations
|
|
|
499
|
|
|
186
|
|
|
391
|
|
|
Income
(loss) from discontinued operations, net
|
|
|
-
|
|
|
(230
|
)
|
|
1
|
|
|
Net
income (loss)
|
|
$
|
499
|
|
$
|
(44
|
)
|
$
|
392
|
|
|
Basic
income (loss) per share:
|
|
|
|
|
|
|
|
|
|
|
|
Income
from continuing operations
|
|
$
|
0.99
|
|
$
|
0.43
|
|
$
|
0.78
|
|
|
Income
(loss) from discontinued operations, net
|
|
|
-
|
|
|
(0.54
|
)
|
|
-
|
|
|
Net
income (loss)
|
|
$
|
0.99
|
|
$
|
(0.11
|
)
|
$
|
0.78
|
|
|
Diluted
income (loss) per share:
|
|
|
|
|
|
|
|
|
|
|
|
Income
from continuing operations
|
|
$
|
0.95
|
|
$
|
0.42
|
|
$
|
0.76
|
|
|
Income
(loss) from discontinued operations, net
|
|
|
-
|
|
|
(0.51
|
)
|
|
-
|
|
|
Net
income (loss)
|
|
$
|
0.95
|
|
$
|
(0.09
|
)
|
$
|
0.76
|
|
|
Basic
weighted average common shares outstanding
|
|
|
506
|
|
|
438
|
|
|
503
|
|
|
Diluted
weighted average common shares outstanding
|
|
|
525
|
|
|
442
|
|
|
513
|
|
|
|
|
Nine
Months Ended
|
|
||||
|
|
|
September
30
|
|
||||
|
|
|
2005
|
|
2004
|
|
||
|
Revenue:
|
|
|
|
|
|
||
|
Production
Optimization
|
|
$
|
3,053
|
|
$
|
2,391
|
|
|
Fluid
Systems
|
|
|
2,061
|
|
|
1,707
|
|
|
Drilling
and Formation Evaluation
|
|
|
1,643
|
|
|
1,317
|
|
|
Digital
and Consulting Solutions
|
|
|
495
|
|
|
413
|
|
|
Total
Energy Services Group
|
|
|
7,252
|
|
|
5,828
|
|
|
Government
and Infrastructure
|
|
|
6,014
|
|
|
7,098
|
|
|
Energy
and Chemicals
|
|
|
1,930
|
|
|
2,339
|
|
|
Total
KBR
|
|
|
7,944
|
|
|
9,437
|
|
|
Total
revenue
|
|
$
|
15,196
|
|
$
|
15,265
|
|
|
Operating
income (loss):
|
|
|
|
|
|
|
|
|
Production
Optimization
|
|
$
|
799
|
|
$
|
425
|
|
|
Fluid
Systems
|
|
|
387
|
|
|
250
|
|
|
Drilling
and Formation Evaluation
|
|
|
335
|
|
|
164
|
|
|
Digital
and Consulting Solutions
|
|
|
80
|
|
|
60
|
|
|
Total
Energy Services Group
|
|
|
1,601
|
|
|
899
|
|
|
Government
and Infrastructure
|
|
|
275
|
|
|
75
|
|
|
Energy
and Chemicals
|
|
|
102
|
|
|
(417
|
)
|
|
Total
KBR
|
|
|
377
|
|
|
(342
|
)
|
|
General
corporate
|
|
|
(95
|
)
|
|
(66
|
)
|
|
Total
operating income
|
|
|
1,883
|
|
|
491
|
|
|
Interest
expense
|
|
|
(154
|
)
|
|
(160
|
)
|
|
Interest
income
|
|
|
38
|
|
|
30
|
|
|
Foreign
currency, net
|
|
|
(9
|
)
|
|
(9
|
)
|
|
Other,
net
|
|
|
(7
|
)
|
|
2
|
|
|
Income
from continuing operations before income taxes and minority interest
|
|
|
1,751
|
|
|
354
|
|
|
Provision
for income taxes
|
|
|
(455
|
)
|
|
(131
|
)
|
|
Minority
interest in net income of subsidiaries
|
|
|
(39
|
)
|
|
(19
|
)
|
|
Income
from continuing operations
|
|
|
1,257
|
|
|
204
|
|
|
Loss
from discontinued operations, net
|
|
|
(1
|
)
|
|
(980
|
)
|
|
Net
income (loss)
|
|
$
|
1,256
|
|
$
|
(776
|
)
|
|
Basic
income (loss) per share:
|
|
|
|
|
|
|
|
|
Income
from continuing operations
|
|
$
|
2.50
|
|
$
|
0.47
|
|
|
Loss
from discontinued operations, net
|
|
|
-
|
|
|
(2.25
|
)
|
|
Net
income (loss)
|
|
$
|
2.50
|
|
$
|
(1.78
|
)
|
|
Diluted
income (loss) per share:
|
|
|
|
|
|
|
|
|
Income
from continuing operations
|
|
$
|
2.44
|
|
$
|
0.46
|
|
|
Loss
from discontinued operations, net
|
|
|
-
|
|
|
(2.22
|
)
|
|
Net
income (loss)
|
|
$
|
2.44
|
|
$
|
(1.76
|
)
|
|
Basic
weighted average common shares outstanding
|
|
|
503
|
|
|
437
|
|
|
Diluted
weighted average common shares outstanding
|
|
|
516
|
|
|
441
|
|
|
|
|
September
30
|
|
June
30
|
|
December
31
|
|
|||
|
|
|
2005
|
|
2005
|
|
2004
|
|
|||
|
Assets
|
|
|||||||||
|
Current
assets:
|
|
|
|
|
|
|
|
|||
|
Cash
and marketable securities
|
|
$
|
2,124
|
|
$
|
1,575
|
|
$
|
2,808
|
|
|
Receivables,
net
|
|
|
4,173
|
|
|
4,280
|
|
|
4,685
|
|
|
Inventories,
net
|
|
|
962
|
|
|
931
|
|
|
791
|
|
|
Insurance
for asbestos- and silica-related liabilities
|
|
|
193
|
|
|
91
|
|
|
1,066
|
|
|
Other
current assets
|
|
|
1,039
|
|
|
1,090
|
|
|
680
|
|
|
Total
current assets
|
|
|
8,491
|
|
|
7,967
|
|
|
10,030
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Property,
plant, and equipment, net
|
|
|
2,602
|
|
|
2,550
|
|
|
2,553
|
|
|
Insurance
for asbestos- and silica-related liabilities
|
|
|
201
|
|
|
301
|
|
|
350
|
|
|
Other
assets
|
|
|
2,401
|
|
|
2,398
|
|
|
2,931
|
|
|
Total
assets
|
|
$
|
13,695
|
|
$
|
13,216
|
|
$
|
15,864
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities
and Shareholders’ Equity
|
||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
Accounts
payable
|
|
$
|
1,714
|
|
$
|
1,871
|
|
$
|
2,339
|
|
|
Current
maturities of long-term debt
|
|
|
651
|
|
|
374
|
|
|
347
|
|
|
Asbestos-
and silica-related liabilities
|
|
|
-
|
|
|
-
|
|
|
2,408
|
|
|
Other
current liabilities
|
|
|
1,867
|
|
|
1,927
|
|
|
2,038
|
|
|
Total
current liabilities
|
|
|
4,232
|
|
|
4,172
|
|
|
7,132
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Long-term
debt
|
|
|
2,821
|
|
|
3,103
|
|
|
3,593
|
|
|
Asbestos-
and silica-related liabilities
|
|
|
-
|
|
|
-
|
|
|
37
|
|
|
Other
liabilities
|
|
|
1,162
|
|
|
1,133
|
|
|
1,062
|
|
|
Total
liabilities
|
|
|
8,215
|
|
|
8,408
|
|
|
11,824
|
|
|
Minority
interest in consolidated subsidiaries
|
|
|
133
|
|
|
113
|
|
|
108
|
|
|
Shareholders’
equity
|
|
|
5,347
|
|
|
4,695
|
|
|
3,932
|
|
|
Total
liabilities and shareholders’ equity
|
|
$
|
13,695
|
|
$
|
13,216
|
|
$
|
15,864
|
|
|
|
|
Three
Months Ended
|
|
Nine
Months Ended
|
|
||||||||
|
|
|
September
30
|
|
September
30
|
|
||||||||
|
|
|
2005
|
|
2004
|
|
2005
|
|
2004
|
|
||||
|
|
|
|
|
|
|
|
|
|
|
||||
|
Capital
expenditures:
|
|
|
|
|
|
|
|
|
|
||||
|
Energy
Services Group
|
|
$
|
164
|
|
$
|
122
|
|
$
|
424
|
|
$
|
356
|
|
|
KBR
|
|
|
21
|
|
|
16
|
|
|
50
|
|
|
66
|
|
|
Total
capital expenditures
|
|
$
|
185
|
|
$
|
138
|
|
$
|
474
|
|
$
|
422
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation,
depletion, and amortization:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Energy
Services Group
|
|
$
|
111
|
|
$
|
105
|
|
$
|
333
|
|
$
|
335
|
|
|
KBR
|
|
|
14
|
|
|
13
|
|
|
44
|
|
|
39
|
|
|
Total
depreciation, depletion, and amortization
|
|
$
|
125
|
|
$
|
118
|
|
$
|
377
|
|
$
|
374
|
|
|
|
|
Three
Months Ended
|
|
Three
Months Ended
|
|
|||||
|
|
|
September
30
|
|
June
30
|
|
|||||
|
|
|
2005
|
|
2004
|
|
2005
|
|
|||
|
Revenue:
|
|
|
|
|
|
|
|
|||
|
North
America
|
|
$
|
1,270
|
|
$
|
969
|
|
$
|
1,137
|
|
|
Latin
America
|
|
|
324
|
|
|
295
|
|
|
333
|
|
|
Europe/Africa/CIS
|
|
|
589
|
|
|
510
|
|
|
565
|
|
|
Middle
East/Asia
|
|
|
414
|
|
|
334
|
|
|
436
|
|
|
Total
revenue
|
|
$
|
2,597
|
|
$
|
2,108
|
|
$
|
2,471
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
income:
|
|
|
|
|
|
|
|
|
|
|
|
North
America
|
|
$
|
347
|
|
$
|
228
|
|
$
|
289
|
|
|
Latin
America
|
|
|
40
|
|
|
52
|
|
|
39
|
|
|
Europe/Africa/CIS
|
|
|
101
|
|
|
88
|
|
|
105
|
|
|
Middle
East/Asia
|
|
|
78
|
|
|
46
|
|
|
89
|
|
|
Total
operating income
|
|
$
|
566
|
|
$
|
414
|
|
$
|
522
|
|
|
|
|
Nine
Months Ended
|
|
||||
|
|
|
September
30
|
|
||||
|
|
|
2005
|
|
2004
|
|
||
|
Revenue:
|
|
|
|
|
|
||
|
North
America
|
|
$
|
3,466
|
|
$
|
2,629
|
|
|
Latin
America
|
|
|
971
|
|
|
781
|
|
|
Europe/Africa/CIS
|
|
|
1,617
|
|
|
1,407
|
|
|
Middle
East/Asia
|
|
|
1,198
|
|
|
1,011
|
|
|
Total
revenue
|
|
$
|
7,252
|
|
$
|
5,828
|
|
|
|
|
|
|
|
|
|
|
|
Operating
income:
|
|
|
|
|
|
|
|
|
North
America
|
|
$
|
989
|
|
$
|
498
|
|
|
Latin
America
|
|
|
125
|
|
|
118
|
|
|
Europe/Africa/CIS
|
|
|
268
|
|
|
150
|
|
|
Middle
East/Asia
|
|
|
219
|
|
|
133
|
|
|
Total
operating income
|
|
$
|
1,601
|
|
$
|
899
|
|
|
|
|
September
30
|
|
June
30
|
|
December
31
|
|
|||
|
|
|
2005
|
____
|
2005
|
___
|
2004
|
|
|||
|
Firm
orders:
|
|
|
|
|
|
|
|
|||
|
Government
and Infrastructure
|
|
$
|
3,548
|
|
$
|
3,556
|
|
$
|
3,968
|
|
|
Energy
and Chemicals
|
|
|
6,809
|
(a)
|
|
6,182
|
|
|
3,643
|
|
|
Energy
Services Group segments
|
|
|
172
|
|
|
179
|
|
|
64
|
|
|
Total
|
|
$
|
10,529
|
|
$
|
9,917
|
|
$
|
7,675
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Government
orders firm but not yet funded, letters of intent, and contracts
awarded
but not signed:
|
|
|
|
|
|
|
|
|
|
|
|
Government
and Infrastructure
|
|
$
|
3,942
|
|
$
|
4,842
|
(b)
|
$
|
816
|
|
|
Total
backlog
|
|
$
|
14,471
|
|
$
|
14,759
|
|
$
|
8,491
|
|
|
(a)
|
Backlog
related to gas monetization projects, which include liquefied natural
gas
and gas-to-liquids projects, amounted to $3.8 billion of the $6.8
billion
of Energy and Chemicals backlog as of September 30,
2005.
|
|
(b)
|
Increase
primarily relates to Task Order No. 89 under the LogCAP
contract.
|
|
|
|
Three
Months Ended
|
|
Nine
Months Ended
|
|
||
|
|
|
September
30, 2005
|
|
September
30, 2005
|
|
||
|
Award
fee adjustment (a)
|
|
$
|
--
|
|
$
|
51
|
|
|
Change
in estimated accrual rate of award fees (b)
|
|
$
|
4
|
|
$
|
14
|
|
|
Settlement
of disputed cost issues, primarily related to fuel
|
|
$
|
24
|
|
$
|
24
|
|
|
(a)
|
The
amounts initially accrued for award fees are adjusted to actual
amounts
earned once the award fees have been granted and the task orders
underlying the work are definitized. The actual amounts granted
were $27
million in the first quarter of 2005, $72 million in the second
quarter of
2005, and $68 million in the third quarter of 2005. Through March
31,
2005, award fees not yet granted were accrued at 50% of the maximum
award
fee.
|
|
(b)
|
Effective
April 1, 2005, LogCAP award fees not yet granted are accrued at
72% of the
maximum award fee.
|
|
|
|
Three
Months Ended
|
|
Three
Months Ended
|
|
Three
Months Ended
|
|
||||||||||||
|
|
|
September
30, 2005
|
|
September
30, 2004
|
|
June
30, 2005
|
|
||||||||||||
|
|
|
Operating
|
|
After
Tax
|
|
Operating
|
|
After
Tax
|
|
Operating
|
|
After
Tax
|
|
||||||
|
|
|
Income
|
|
per
Share
|
|
Income
|
|
per
Share
|
|
Income
|
|
per
Share
|
|
||||||
|
Production
Optimization:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
|
Surface
well testing gain on sale
|
|
$
|
-
|
|
$
|
-
|
|
$
|
40
|
|
$
|
0.06
|
|
$
|
-
|
|
$
|
-
|
|
|
Government
and
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Infrastructure:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sale
of interest in toll road
|
|
|
85
|
|
|
0.13
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
Restructuring
charge
|
|
|
-
|
|
|
-
|
|
|
(4
|
)
|
|
(0.01
|
)
|
|
-
|
|
|
-
|
|
|
Energy
and Chemicals:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Restructuring
charge
|
|
|
-
|
|
|
-
|
|
|
(14
|
)
|
|
(0.02
|
)
|
|
-
|
|
|
-
|
|
|
|
|
Nine
Months Ended
|
|
Nine
Months Ended
|
|
||||||||
|
|
|
September
30, 2005
|
|
September
30, 2004
|
|
||||||||
|
|
|
Operating
|
|
After
Tax
|
|
Operating
|
|
After
Tax
|
|
||||
|
|
|
Income
|
|
per
Share (b)
|
|
Income
|
|
per
Share
|
|
||||
|
Production
Optimization:
|
|
|
|
|
|
|
|
|
|
||||
|
Subsea
7, Inc. gain on sale (a)
|
|
$
|
110
|
|
$
|
0.16
|
|
$
|
-
|
|
$
|
-
|
|
|
Surface
well testing gain on sale
|
|
|
-
|
|
|
-
|
|
|
40
|
|
|
0.06
|
|
|
Digital
and Consulting Solutions:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Anglo-Dutch
lawsuit
|
|
|
-
|
|
|
-
|
|
|
13
|
|
|
0.02
|
|
|
Government
and Infrastructure:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sale
of interest in toll road
|
|
|
85
|
|
|
0.12
|
|
|
-
|
|
|
-
|
|
|
Restructuring
charge
|
|
|
-
|
|
|
-
|
|
|
(4
|
)
|
|
(0.01
|
)
|
|
Energy
and Chemicals:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Barracuda-Caratinga
project loss
|
|
|
-
|
|
|
-
|
|
|
(407
|
)
|
|
(0.60
|
)
|
|
Restructuring
charge
|
|
|
-
|
|
|
-
|
|
|
(14
|
)
|
|
(0.02
|
)
|
|
|
(a)
|
The
nine months ended September 30, 2004 included a $7 million equity
loss
contributed from Subsea 7, Inc.
|
|
|
(b)
|
Amounts
differ from quarter impact due to differences in the effective
tax rate
between the individual quarter and the nine months ended September
30,
2005.
|
|
|
|
Three
Months Ended
|
|
Three
Months Ended
|
|
Three
Months Ended
|
|
||||||||||||
|
|
|
September
30, 2005
|
|
September
30, 2004
|
|
June
30, 2005
|
|
||||||||||||
|
|
|
Operating
|
|
After
Tax
|
|
Operating
|
|
After
Tax
|
|
Operating
|
|
After
Tax
|
|
||||||
|
|
|
Income
|
|
per
Share
|
|
Income
|
|
per
Share
|
|
Income
|
|
per
Share
|
|
||||||
|
North
America:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
|
Surface
well testing gain on sale
|
|
$
|
-
|
|
$
|
-
|
|
$
|
19
|
|
$
|
0.03
|
|
$
|
-
|
|
$
|
-
|
|
|
Latin
America:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Surface
well testing gain on sale
|
|
|
-
|
|
|
-
|
|
|
7
|
|
|
0.01
|
|
|
-
|
|
|
-
|
|
|
Europe/Africa/CIS:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Surface
well testing gain on sale
|
|
|
-
|
|
|
-
|
|
|
14
|
|
|
0.02
|
|
|
-
|
|
|
-
|
|
|
|
|
Nine
Months Ended
|
|
Nine
Months Ended
|
|
||||||||
|
|
|
September
30, 2005
|
|
September
30, 2004
|
|
||||||||
|
|
|
Operating
|
|
After
Tax
|
|
Operating
|
|
After
Tax
|
|
||||
|
|
|
Income
|
|
per
Share
|
|
Income
|
|
per
Share
|
|
||||
|
North
America:
|
|
|
|
|
|
|
|
|
|
||||
|
Subsea
7, Inc. gain on sale
|
|
$
|
107
|
|
$
|
0.15
|
|
$
|
-
|
|
$
|
-
|
|
|
Surface
well testing gain on sale
|
|
|
-
|
|
|
-
|
|
|
19
|
|
|
0.03
|
|
|
Anglo-Dutch
lawsuit
|
|
|
-
|
|
|
-
|
|
|
13
|
|
|
0.02
|
|
|
Latin
America:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Surface
well testing gain on sale
|
|
|
-
|
|
|
-
|
|
|
7
|
|
|
0.01
|
|
|
Europe/Africa/CIS:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Subsea
7, Inc. gain on sale
|
|
|
3
|
|
|
0.01
|
|
|
-
|
|
|
-
|
|
|
Surface
well testing gain on sale
|
|
|
-
|
|
|
-
|
|
|
14
|
|
|
0.02
|
|
|
|
|
Total
Energy
|
|
|
|
|
|
Total
|
|
||||
|
|
|
Services
|
|
Total
|
|
General
|
|
Halliburton
|
|
||||
|
|
|
Group
|
|
KBR
|
|
Corporate
|
|
Company
|
|
||||
|
Three
Months Ended
|
|
|
|
|
|
|
|
|
|
||||
|
September
30, 2005
|
|
|
|
|
|
|
|
|
|
||||
|
|
|
|
|
|
|
|
|
|
|
||||
|
As
reported operating income (loss)
|
|
$
|
566
|
|
$
|
150
|
|
$
|
(26
|
)
|
$
|
690
|
|
|
Sale
of interest in toll road (a)
|
|
|
-
|
|
|
(85
|
)
|
|
-
|
|
|
(85
|
)
|
|
Adjusted
operating income (loss)
|
|
$
|
566
|
|
$
|
65
|
|
$
|
(26
|
)
|
$
|
605
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three
Months Ended
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
June
30, 2005 (b)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As
reported operating income (loss)
|
|
$
|
522
|
|
$
|
122
|
|
$
|
(37
|
)
|
$
|
607
|
|
|
(a)
|
The
Company is reporting strong operating income from both the Energy
Services
Group and KBR. Management believes it is important to point out
to
investors that a portion of operating income is attributable to
the sale
of a toll road interest in the third quarter of 2005, because investors
have indicated to management their desire to understand the current
drivers and future trends of operating income. The adjustment removes
the
effect of the sale of the toll road
interest.
|
|
(b)
|
No
reconciling items were noted for this
period.
|
|
|
|
HALLIBURTON
COMPANY
|
|
|
|
|
|
Date:
October 25, 2005
|
By:
|
/s/
Margaret E. Carriere
|
|
|
|
Margaret
E. Carriere
|
|
|
|
Senior
Vice President and Secretary
|