SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 10-Q
Quarterly Report Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
For the Quarterly Period Ended September 30, 1995
Commission File No. 1-8033
PERMIAN BASIN ROYALTY TRUST
Texas I.R.S. No. 75-6280532
NationsBank of Texas N.A., Trust Department
P. O. Box 1317
Fort Worth, Texas 76101
Telephone Number 817/390-6905
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 and (2) has been
subject to such filing requirements for the past 90 days. Yes X No
---
Number of units of beneficial interest outstanding at November 13,
1995: 46,608,796
Page 1 of 14
PERMIAN BASIN ROYALTY TRUST
PART I - FINANCIAL STATEMENTS
Item 1. Financial Statements.
The condensed financial statements included herein have been prepared
by NationsBank of Texas, N.A. as Trustee for the Permian Basin Royalty
Trust, without audit, pursuant to the rules and regulations of the
Securities and Exchange Commission. Certain information and footnote
disclosures normally included in annual financial statements have been
condensed or omitted pursuant to such rules and regulations, although
the Trustee believes that the disclosures are adequate to make the
information presented not misleading. It is suggested that these
condensed financial statements be read in conjunction with the
financial statements and the notes thereto included in the Trust's
latest annual report on Form 10-K. In the opinion of the Trustee, all
adjustments, consisting only of normal recurring adjustments,
necessary to present fairly the assets, liabilities and trust corpus
of the Permian Basin Royalty Trust at September 30, 1995, and the
distributable income and changes in trust corpus for the three-month
and nine-month periods ended September 30, 1995 and 1994 have been
included. The distributable income for such interim periods is not
necessarily indicative of the distributable income for the full year.
Deloitte & Touche LLP, independent certified public accountants, has
made a limited review of the condensed financial statements as of
September 30, 1995 and for the three-month and nine-month periods
ended September 30, 1995 and 1994 included herein.
-2-
INDEPENDENT ACCOUNTANTS' REPORT
NationsBank of Texas, N.A. as Trustee
for the Permian Basin Royalty Trust:
We have reviewed the accompanying condensed statement of assets,
liabilities and trust corpus of the Permian Basin Royalty Trust as of
September 30, 1995 and the related condensed statements of
distributable income and changes in trust corpus for the three-month
and nine-month periods ended September 30, 1995 and 1994. These
financial statements are the responsibility of the Trustee.
We conducted our reviews 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.
The accompanying condensed financial statements are prepared on a
modified cash basis as described in Note 1, which is a comprehensive
basis of accounting other than generally accepted accounting
principles.
Based on our reviews, we are not aware of any material modifications
that should be made to such condensed financial statements for them to
be in conformity with the basis of accounting described in Note 1.
We have previously audited, in accordance with generally accepted
auditing standards, the statement of assets, liabilities and trust
corpus of the Permian Basin Royalty Trust as of December 31, 1994, and
the related statements of distributable income and changes in trust
corpus for the year then ended (not presented herein); and in our
report dated March 20, 1995, we expressed an unqualified opinion on
those financial statements. In our opinion, the information set forth
in the accompanying condensed statement of assets, liabilities and
trust corpus as of December 31, 1994 is fairly stated in all material
respects in relation to the statement of assets, liabilities and trust
corpus from which it has been derived.
/s/ Deloitte & Touche LLP
- --------------------------------
DELOITTE & TOUCHE LLP
November 8, 1995
-3-
<TABLE>
<CAPTION>
PERMIAN BASIN ROYALTY TRUST
CONDENSED STATEMENTS OF ASSETS, LIABILITIES AND TRUST CORPUS
- ---------------------------------------------------------------------------------------------------------------
September 30, December 31,
ASSETS 1995 1994
(UNAUDITED)
<S> <C> <C>
Cash and short-term investments $ 938,577 $ 1,706,227
Net overriding royalty interests in producing
oil and gas properties (net of accumulated
amortization of $6,842,322 and $6,679,160
at September 30, 1995 and December 31, 1994) 4,132,894 4,296,056
--------- ---------
$ 5,071,471 $ 6,002,283
========= =========
LIABILITIES AND TRUST CORPUS
Distribution payable to Unit holders $ 938,577 $ 1,706,227
Trust corpus - 46,608,796 Units of beneficial
interest authorized and outstanding 4,132,894 4,296,056
--------- ---------
$ 5,071,471 $ 6,002,283
========= =========
<CAPTION>
CONDENSED STATEMENTS OF DISTRIBUTABLE INCOME (UNAUDITED)
- --------------------------------------------------------------------------------------------------------------
Three Months Ended Nine Months Ended
September 30, September 30,
------------------------------ -----------------------------
1995 1994 1995 1994
<S> <C> <C> <C> <C>
Royalty income $ 2,609,871 $ 4,243,310 $ 8,036,227 $12,038,348
Interest income 4,938 2,256 18,790 13,004
--------- --------- --------- ----------
2,614,809 4,245,566 8,055,017 12,051,352
General and administrative
expenditures 68,968 61,533 351,010 422,037
--------- --------- --------- ----------
Distributable income $ 2,545,841 $ 4,184,033 $ 7,704,007 $11,629,315
========= ========= ========= ==========
Distributable income per Unit
(46,608,796 Units) $ 0.054621 $ 0.089769 $ 0.165289 $ 0.249508
========= ========= ========= =========
<FN>
The accompanying notes to condensed financial statements are an integral part of these statements.
</FN>
</TABLE>
-4-
<TABLE>
<CAPTION>
PERMIAN BASIN ROYALTY TRUST
CONDENSED STATEMENTS OF CHANGES IN TRUST CORPUS (UNAUDITED)
- ---------------------------------------------------------------------------------------------------------------
Three Months Ended Nine Months Ended
September 30, September 30,
---------------------------- -------------------------
1995 1994 1995 1994
<S> <C> <C> <C> <C>
Trust corpus, beginning of period $ 4,185,235 $ 4,526,662 $ 4,296,056 $ 4,843,157
Amortization of net overriding
royalty interests (52,341) (128,172) (163,162) (444,667)
Distributable income 2,545,841 4,184,033 7,704,007 11,629,315
Distributions declared (2,545,841) (4,184,033) (7,704,007) (11,629,315)
--------- --------- --------- ---------
Trust corpus, end of period $ 4,132,894 $ 4,398,490 $ 4,132,894 $ 4,398,490
========= ========= ========= =========
<FN>
The accompanying notes to condensed financial statements are an integral part of this statement.
</FN>
</TABLE>
-5-
PERMIAN BASIN ROYALTY TRUST
NOTES TO CONDENSED FINANCIAL STATEMENTS (UNAUDITED)
- ---------------------------------------------------------------------
1. BASIS OF ACCOUNTING
The Permian Basin Royalty Trust ("Trust") was established as of
November 1, 1980. The financial statements of the Trust are
prepared on the following basis:
- Royalty income recorded for a month is the amount computed and
paid by the interest owner, Southland Royalty Company
("Southland"), to NationsBank of Texas, N.A., ("Trustee") as
Trustee for the Trust. Royalty income consists of the amounts
received by the owner of the interest burdened by the net
overriding royalty interests ("Royalties") from the sale of
production less accrued production costs, development and
drilling costs, applicable taxes, operating charges, and other
costs and deductions, multiplied by 75% in the case of the
Waddell Ranch properties and 95% in the case of the Texas
Royalty properties.
- Trust expenses recorded are based on liabilities paid and cash
reserves established out of cash received or borrowed funds for
liabilities and contingencies.
- Distributions to Unit holders are recorded when declared by the
Trustee.
- The conveyance which transferred the overriding royalty interest
to the Trust provides that any excess of production costs over
gross proceeds must be recovered from future net profits.
The financial statements of the Trust differ from financial
statements prepared in accordance with generally accepted
accounting principles ("GAAP") because revenues are not accrued in
the month of production and certain cash reserves may be
established for contingencies which would not be accrued in
financial statements prepared in accordance with GAAP.
Amortization of the Royalties calculated on a unit-of-production
basis is charged directly to trust corpus.
2. FEDERAL INCOME TAXES
For Federal income tax purposes, the Trust constitutes a fixed
investment trust which is taxed as a grantor trust. A grantor
trust is not subject to tax at the trust level. The Unit holders
are considered to own the Trust's income and principal as though no
trust were in existence. The income of the Trust is deemed to have
been received or accrued by each Unit holder at the time such
income is received or accrued by the Trust and not when distributed
by the Trust.
The Royalties constitute "economic interests" in oil and gas
properties for Federal income tax purposes. Unit holders
must report their share of the revenues of the Trust as ordinary
income from oil and gas royalties and are entitled to claim
depletion with respect to such income.
The Trust has on file technical advice memoranda confirming the tax
treatment described above.
The classification of the Trust's income for purposes of the passive
loss rules may be important to a Unit holder. As a result of the Tax
Reform Act of 1986, royalty income will generally be treated as
portfolio income and will not offset passive losses.
-6-
3. OTHER MATTERS
As a result of an issue raised by the Trustee during March 1994
regarding potential underpayments of royalty income by Southland
from the Texas Royalty properties beginning January 1991, the March
1994 royalty income included a payment by Southland of $2.9
million, or $.062261 per Unit. Further net revisions resulted in
additional payments to the Trust by Southland of approximately
$221,000 and $133,000 in the quarters ended June 30, 1994 and
September 30, 1994, respectively. The payments by Southland were
estimates of previous underpayments of royalty income to the Trust
and are subject to revision as additional investigation of such
underpayments is performed by Southland and the Trustee.
Therefore, such payments do not represent final resolution of the
issue and there may be further adjustments in the future.
Accordingly, the amount of the underpayment and the resulting
amounts due to the Trust may be more or less than the amount set
forth above.
******
-7-
Item 2. Trustee's Discussion and Analysis
Three Months Ended September 30, 1995 and 1994
During the quarter ended September 30, 1995, royalty income received
by the Trust amounted to $2,609,871 compared with $4,243,310 during
the third quarter of 1994. Interest income for the quarter ended
September 30, 1995 was $4,938, compared with $2,256 during the third
quarter of 1994. The increase in interest income can be attributed
primarily to an increase in the amount of funds available for
investment (there is a two-month time lag in reporting distributions
and receipt of interest income) and an increase in interest rates. General
and administrative expenses during the third quarter of 1995 amounted to
$68,968, compared with $61,533 during the third quarter of 1994. The
increase in general and administrative expenses is primarily due to
timing differences in the receipt and payment of these
expenses.
Distributable income for the quarter ended September 30, 1995
was $2,545,841, or $.054621 per Unit of beneficial interest.
Distributions of $.021772, $.012712 and $.020137 per Unit were made to
Unit holders of record on July 31, August 31 and September 29, 1995,
respectively. For the third quarter of 1994, distributable income was
$4,184,033, or $.089769 per Unit.
Royalty income for the Trust for the quarter ended September 30, 1995
is associated with actual oil and gas production for the period May
through July 1995 from the properties from which the Trust's net
overriding royalty interests ("Royalties") were carved. Oil and gas
sales attributable to the Royalties and the properties from which the
Royalties were carved, excluding portions attributable to the adjustment
discussed in the notes to condensed financial statements, are as follows:
<TABLE>
<CAPTION>
Three Months Ended
September 30,
-------------------------
1995 1994
<S> <C> <C>
ROYALTIES:
Oil sales (Bbls) 130,859 221,421
Gas sales (Mcf) 373,842 568,364
PROPERTIES FROM WHICH THE ROYALTIES WERE CARVED:
Oil:
Total oil sales (Bbls) 427,980 445,643
Average per day (Bbls) 4,652 4,844
Average price per Bbl $16.65 $16.49
Gas:
Total gas sales (Mcf) 1,923,573 2,115,194
Average per day (Mcf) 20,908 22,991
Average price per Mcf $ 1.57 $ 1.58
</TABLE>
The posted price of oil as well as gas remained relatively unchanged
for the third quarter of 1995 compared to the third quarter of 1994.
The average price per barrel of oil was $16.65 in 1995 compared to
$16.49 in 1994. The average price of gas was $1.57 per Mcf in 1995 as
compared to $1.58 per Mcf in 1994.
Since the oil and gas sales attributable to the Royalties are based on
an allocation formula that is dependent on such factors as price and
costs (including capital expenditures), the production amounts do not
provide a meaningful comparison. The oil and gas sales from the
properties from which the Royalties are carved decreased for the third
quarter of 1995 compared to the third quarter of 1994 primarily due to
natural decline in deliverability from the wells, except for the
following. Oil sales from the Waddell Ranch properties were
-8-
up slightly for the third quarter of 1995 compared to the third
quarter of 1994 due to successful drilling, recompletion
and maintenance activities in 1995. The oil from the
Waddell Ranch properties is 74% and 70% of the total oil sales from
the properties from which the royalties were carved for the third
quarters of 1995 and 1994, respectively.
Lease operating expense and property taxes for the Waddell Ranch
properties increased slightly. Capital costs increased from $765,000
in the third quarter of 1994 to $3.1 million in the third
quarter of 1995. Southland Royalty Company ("Southland") has
previously advised the Trust that the 1995 capital expenditures budget
should total approximately $10.2 million, being $8.4 million for the
development program, which consists primarily of drilling, and $1.8
million for maintenance activities.
As a result of an issue raised by the Trustee during March 1994
regarding potential underpayments of royalty income by Southland from
the Texas Royalty properties beginning January 1991, the March 1994
royalty income included a payment by Southland of $2.9 million or
$.062261 per Unit. Further net revisions resulted in additional
payments to the Trust by Southland of approximately $221,000 and
$133,000 in the quarter ended June 30, 1994, and September 30, 1994,
respectively. The payments by Southland were estimates of previous
underpayments of royalty income to the Trust and are subject to
revision as additional investigation of such underpayments is
performed by Southland and the Trustee. Therefore, such payments do
not represent final resolution of the issue and there may be further
adjustments in the future. The amount of the underpayment and the
resulting amount due to the Trust may be more or less than the amount
set forth above.
In accordance with the conveyance from Southland to the Trust,
Southland is entitled to recover cumulative excess production costs
from gross proceeds from the Waddell Ranch properties. At June 30,
1994, the remaining cumulative excess of production costs over gross
proceeds from such properties was approximately $1.4 million.
Southland recouped such amount, together with interest thereon, from
the gross proceeds from the Waddell Ranch properties during July and
August 1994.
The Trust was advised by Southland that approximately $1.3 million in
ad valorem taxes related to 1991 through 1994 for the Texas Royalty
properties that Southland did not previously charge to gross proceeds
attributable to the Trust will be charged to the Trust over 12 months
beginning in March 1995. This charge is being made by Southland
deducting $87,000 per month from the gross proceeds attributable to
the Texas Royalty properties until the full amount of the ad valorem
taxes is recovered.
The Trust has been advised that there were 8 gross (3.875 net) wells
completed during the three months ended September 30, 1995. In addition,
there were 20 gross (9.125 net) wells in progress at September 30, 1995.
During the three months ended September 30, 1994, there were no wells
completed and no wells in progress at September 30, 1994.
Nine Months Ended September 30, 1995 and 1994
For the nine months ended September 30, 1995, royalty income received
by the Trust amounted to $8,036,227 compared with royalty income of
$12,038,348 during the first nine months of 1994. Interest income for
the nine months ended September 30, 1995 was $18,790, compared with
$13,004 during the first nine months of 1994. The increase in
interest income results primarily from an increase in the amount of
funds available for investment. General and administrative expenses
during the 1995 period amounted to $351,010. During the first nine
months of 1994, general and administrative expenses amounted to
$422,037. The decrease in general and administrative expenses is
primarily due to timing differences in the receipt and payment of
these expenses.
-9-
These transactions resulted in distributable income for the nine
months ended September 30, 1995 of $7,704,007, or $.165289 per Unit of
beneficial interest. For the first nine months of 1994, the
distributable income was $11,629,315 or $.249508 per Unit.
Royalty income for the Trust for the nine-month period ended
September 30, 1995, is associated with actual oil and gas production
for the period November 1994 through July 1995 from the properties
from which the Royalties were carved. Oil and gas sales attributable
to the Royalties and the properties from which the Royalties were
carved, excluding portions attributable to the adjustment discussed in
the notes to condensed financial statements, are as follows:
<TABLE>
<CAPTION>
Nine Months Ended
September 30,
---------------------------
1995 1994
<S> <C> <C>
ROYALTIES:
Oil sales (Bbls) 404,967 439,544
Gas sales (Mcf) 1,201,043 1,278,707
PROPERTIES FROM WHICH THE ROYALTIES WERE CARVED:
Oil:
Total oil sales (Bbls) 1,222,110 1,209,161
Average per day (Bbls) 4,477 4,429
Average price per Bbl $16.57 $14.19
Gas:
Total gas sales (Mcf) 5,663,218 6,018,811
Average per day (Mcf) 20,744 22,047
Average price per Mcf $ 1.58 $ 1.71
</TABLE>
The posted price of oil increased during the nine months ended
September 30, 1995 compared to the same period in 1994, resulting in
an average price per barrel of $16.57 compared to $14.19 in the nine
months ended September 30, 1994. The decrease in the average price of
gas from $1.71 in the nine months ended September 30, 1994 to $1.58 in
the same period in 1995 is primarily the result of a decrease in the
spot prices of natural gas.
Since the oil and gas sales attributable to the Royalties are based on
an allocation formula that is dependent on such factors as price and
cost (including capital expenditures), the production amounts do not
provide a meaningful comparison. There was a slight increase in oil
sales from the properties from which the Royalties were carved in the
first nine months of 1995 as compared to the first nine months of
1994. The decrease in the gas sales volumes for the nine months ended
September 30, 1995 compared to the gas sales volumes for the same
period of 1994 can be attributed primarily to natural decline in
deliverability of the wells.
In accordance with the terms of the conveyances which conveyed the
Royalties to the Trust, to the extent it has the legal right to do so,
Southland has the obligation for marketing the production from the
properties from which the Trust's Royalties were carved, at the best
prices and on the best terms it deems reasonably obtainable in the
circumstances. In accordance with the conveyances, the Trustee gave
notice to Southland of the reservation of the Trust's right to
question certain lease operating expenses and the adequacy of prices
obtained by Southland for oil production during the period commencing
May 1, 1991, and any further resulting or ancillary claims which may
exist as a consequence of the foregoing claims as to adequacy of
pricing. On January 3, 1994, the dispute between the Trustee and
Southland, regarding the adequacy of prices obtained by Southland for
oil production during the period May 1991 through February 1993, was
-10-
resolved. As a result of the settlement of such dispute, Southland
agreed to pay the Trust $850,000 or $.0182369 per Unit. Such payment
to the Trust was made on January 31, 1994, and was included in
distributions made to Unit holders on January 31, 1994. The
has been advised by Southland that for the period August 1, 1993, through
June 30, 1996, the oil from the Waddell Ranch is being sold under a
competitive bid to a third party.
As a result of an issue raised by the Trustee during March 1994
regarding potential underpayments of royalty income by Southland from
the Texas Royalty properties beginning January 1991, the March 1994
royalty income included a payment of $2.9 million or $.062261 per Unit
by Southland. Further net revisions resulted in additional payments
to the Trust by Southland of approximately $221,000 and $133,000 in
the quarters ended June 30, 1994 and September 30, 1994, respectively.
The payments by Southland were estimates of previous underpayments of
royalty income to the Trust and are subject to revision as additional
investigation of such underpayments is performed by Southland and the
Trustee. Therefore, such payments do not represent final resolution
of the issue and there may be further adjustments in the future. The
amount of the underpayment and the resulting amounts due to the Trust
may be more or less than the amount set forth above.
The lease operating expense and property taxes on the Waddell Ranch
properties for the nine months ended September 30, 1995 were
$7,879,000 compared to $7,876,000 for the same period in 1994. The
1994 lease operating expense had an upward adjustment of approximately
$300,000 for an increase in the ad valorem tax accrual.
Capital expenditures in 1995 totaled $9,163,000 compared to $8,323,000
in 1994. The increase in these costs is associated with an increase
in drilling and recompletion activity.
The Trust has been advised that 21 gross (9.375 net) productive oil
wells on the Waddell Ranch properties were drilled and completed
during the nine months ended September 30, 1995 and 23 gross (11.38
net) productive oil wells were drilled and completed during the nine
months ended September 30, 1994. In addition, there were 20 (9.125
net) wells in progress at September 30, 1995, and no new wells in
progress at September 30, 1994.
-11-
CALCULATION OF ROYALTY INCOME
The Trust's royalty income is computed as a percentage of the net
profit from the operation of the properties in which the Trust owns
net overriding royalty interests. These percentages of net profits
are 75% and 95% in the case of the Waddell Ranch properties and the
Texas Royalty properties, respectively. Royalty income received by
the Trust for the quarters ended September 30, 1995 and 1994,
respectively, was computed as shown in the table below:
<TABLE>
<CAPTION>
Three Months Ended September 30,
-------------------------------------------------------------
1995 1994
---------------------------- ----------------------------
Waddell Texas Waddell Texas
Ranch Royalty Ranch Royalty
Properties Properties Properties Properties
<S> <C> <C> <C> <C>
Gross proceeds of sales from
properties from which the net
overriding royalties were carved:
Oil proceeds $ 5,303,295 $ 1,821,644 $ 5,240,942 $ 2,106,191
Gas proceeds 2,693,276 325,110 2,964,456 368,814
Other payments 148,020
--------- --------- --------- ---------
Total 7,996,571 2,146,754 8,205,398 2,623,025
--------- --------- --------- ---------
Less:
Severance tax:
Oil 222,052 76,599 233,672 96,099
Gas 201,226 24,333 222,121 25,334
Other payments 6,277
Lease operating expense and
property tax:
Oil and gas 2,944,154 506,704 2,888,578 136,892
Other payments 1,930
Capital expenditures 3,098,860 765,194
Excess costs 1,422,977
--------- --------- --------- ---------
Total 6,466,292 607,636 5,532,542 266,532
--------- --------- --------- ---------
Net profits 1,530,279 1,539,118 2,672,856 2,356,493
Net overriding royalty interests 75% 95% 75% 95%
-------- --------- --------- ---------
Royalty income $ 1,147,709 $ 1,462,162 $ 2,004,642 $ 2,238,668
========= ========= ========= =========
</TABLE>
-12-
PART II - OTHER INFORMATION
Items 1 through 5.
Not applicable.
Item 6. (a) Exhibits
(4)(a) Permian Basin Royalty Trust Indenture dated
November 3, 1980, between Southland Royalty
Company and The First National Bank of Fort Worth
(now NationsBank of Texas, N.A.), as Trustee,
heretofore filed as Exhibit (4)(a) to the Trust's
Annual Report on Form 10-K to the Securities and
Exchange Commission for the fiscal year ended
December 31, 1980 is incorporated herein by
reference.
(b) Net Overriding Royalty Conveyance (Permian Basin
Royalty Trust) from Southland Royalty Company to
The First National Bank of Fort Worth (now
NationsBank of Texas, N.A.), as Trustee, dated
November 3, 1980 (without Schedules), heretofore
filed as Exhibit (4)(b) to the Trust's Annual
Report on Form 10-K to the Securities and Exchange
Commission for the fiscal year ended December 31,
1980 is incorporated herein by reference.
(c) Net Overriding Royalty Conveyance (Permian Basin
Royalty Trust - Waddell Ranch) from Southland
Royalty Company to The First National Bank of Fort
Worth (now NationsBank of Texas, N.A.), as
Trustee, dated November 3, 1980 (without
Schedules), heretofore filed as Exhibit (4)(c) to
the Trust's Annual Report on Form 10-K to the
Securities and Exchange Commission for the fiscal
year ended December 31, 1980 is incorporated
herein by reference.
(27) Financial Data Schedule
(b) Reports on Form 8-K
There were no reports on Form 8-K filed during the quarter
ended September 30, 1995.
-13-
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the Registrant has duly caused this Report to be signed on its behalf
by the undersigned thereunto duly authorized.
NATIONSBANK OF TEXAS, N.A.
TRUSTEE FOR THE
PERMIAN BASIN ROYALTY TRUST
By /s/ PAMELA J. BRADLEY
-------------------------------
Pamela J. Bradley
Vice President
Date: November 13, 1995
(The Trust has no directors or executive officers.)
-14-
INDEX TO EXHIBITS
Sequentially
Exhibit Numbered
Number Exhibit Page
- -------- ------- -----------
(4)(a) Permian Basin Royalty Trust Indenture dated November
3, 1980, between Southland Royalty Company and The
First National Bank of Fort Worth (now NationsBank of
Texas, N.A.), as Trustee, heretofore filed as Exhibit
(4)(a) to the Trust's Annual Report on Form 10-K to
the Securities and Exchange Commission for the fiscal
year ended December 31, 1980 is incorporated herein by
reference.*
(b) Net Overriding Royalty Conveyance (Permian Basin
Royalty Trust) from Southland Royalty Company to The
First National Bank of Fort Worth (now NationsBank of
Texas, N.A.), as Trustee, dated November 3, 1980
(without Schedules), heretofore filed as Exhibit
(4)(b) to the Trust's Annual Report on Form 10-K to
the Securities and Exchange Commission for the fiscal
year ended December 31, 1980 is incorporated herein by
reference. *
(c) Net Overriding Royalty Conveyance (Permian Basin
Royalty Trust - Waddell Ranch) from Southland Royalty
Company to The First National Bank of Fort Worth (now
NationsBank of Texas, N.A.), as Trustee, dated
November 3, 1980 (without Schedules), heretofore filed
as Exhibit (4)(c) to the Trust's Annual Report on Form
10-K to the Securities and Exchange Commission for the
fiscal year ended December 31, 1980 is incorporated
herein by reference. *
(27) Financial Data Schedule **
* A copy of this Exhibit is available to any Unit holder, at the
actual cost of reproduction, upon written request to the Trustee,
NationsBank of Texas, N.A., P. O. Box 1317, Fort Worth, Texas
76101.
** Filed herewith.
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
This schedule contains summary financial information extracted from the
unaudited condensed statements of assets, liabilities and trust corpus of
Permian Basin Royalty Trust as of September 30, 1995, and the related condensed
statements of distributable income and changes in trust corpus for the
three-month period ended September 30, 1995.
</LEGEND>
<MULTIPLIER> 1
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> DEC-31-1995
<PERIOD-END> SEP-30-1995
<CASH> 938,577
<SECURITIES> 0
<RECEIVABLES> 0
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 938,577
<PP&E> 10,975,216
<DEPRECIATION> 6,842,322
<TOTAL-ASSETS> 5,071,471
<CURRENT-LIABILITIES> 938,577
<BONDS> 0
<COMMON> 0
0
0
<OTHER-SE> 4,132,894
<TOTAL-LIABILITY-AND-EQUITY> 5,071,471
<SALES> 0
<TOTAL-REVENUES> 2,614,809
<CGS> 0
<TOTAL-COSTS> 0
<OTHER-EXPENSES> 68,968
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
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