<PAGE>
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
X QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 1997
OR
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 1-10053
ORYX ENERGY COMPANY
(Exact name of registrant as specified in its charter)
DELAWARE 23-1743284
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification Number)
13155 NOEL ROAD, DALLAS, TEXAS 75240-5067
(Address of principal executive offices) (Zip code)
(972) 715-4000
(Registrant's telephone number, including area code)
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
The number of shares of common stock, $1 par value,
outstanding on July 1, 1997 was 105,415,076.
<PAGE>
<PAGE> 2
ORYX ENERGY COMPANY
INDEX
Page
PART I. FINANCIAL INFORMATION
Item 1. Financial Statements
Condensed Consolidated Statements of Income for the
Three and Six Months Ended June 30, 1997 and 1996......... 3
Condensed Consolidated Balance Sheets at June 30,
1997 and December 31, 1996................................ 4
Condensed Consolidated Statements of Cash Flows for
the Six Months Ended June 30, 1997 and 1996............... 5
Notes to Condensed Consolidated Financial Statements...... 6
Report of Independent Accountants......................... 9
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations....................... 10
PART II. OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8-K ......................... 13
SIGNATURE........................................................... 14
<PAGE>
<PAGE> 3
PART I
FINANCIAL INFORMATION
Item 1. Financial Statements
ORYX ENERGY COMPANY
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
<TABLE>
<CAPTION>
For the Three Months For the Six Months
(Millions of Dollars, Except Ended June 30 Ended June 30
Per Share Amounts) 1997 1996 1997 1996
(Unaudited)
<S> <C> <C> <C> <C>
Revenues
Oil and gas (Note 3) $ 276 $ 256 $ 618 $ 504
Other (2) (3) (9) (4)
----- ----- ----- -----
274 253 609 500
----- ----- ----- -----
Costs and Expenses
Operating costs 67 57 136 115
Production taxes 41 36 80 62
Exploration costs 17 14 31 25
Depreciation, depletion and
amortization 74 66 153 129
General and administrative
expense 15 14 30 29
Interest and debt expense 28 27 55 56
Interest capitalized (3) (4) (8) (7)
----- ----- ----- -----
239 210 477 409
----- ----- ----- -----
Income Before Provision for
Income Taxes 35 43 132 91
Provision for Income Taxes (Note 4) 10 14 45 31
Remeasurement of Foreign Deferred
Tax (Note 4) 2 1 (2) -
----- ----- ----- -----
Net Income $23 $ 28 $ 89 $60
===== ===== ===== =====
Net income Per Share of Common Stock $ .22 $ .27 $ .84 $ .57
===== ===== ===== =====
Weighted Average Number of Common
Shares Outstanding (in millions) 105.7 104.9 105.6 104.8
===== ===== ===== =====
</TABLE>
(See Accompanying Notes)
<PAGE>
<PAGE> 4
ORYX ENERGY COMPANY
CONDENSED CONSOLIDATED BALANCE SHEETS
<TABLE>
<CAPTION>
June 30 December 31
(Millions of Dollars) 1997 1996
(Unaudited)
<S> <C> <C>
Assets
Current Assets
Cash and cash equivalents $ 6 $ 9
Accounts receivable and other current assets 210 241
------ ------
Total Current Assets 216 250
Properties, Plants and Equipment (Note 5) 1,705 1,627
Deferred Charges and Other Assets 57 58
------ ------
Total Assets $1,978 $1,935
====== ======
Liabilities and Shareholders' Equity (Deficit)
Current Liabilities
Accounts payable $ 116 $ 130
Accrued liabilities 248 251
Current portion of long-term debt 4 4
------ ------
Total Current Liabilities 368 385
Long-Term Debt 1,166 1,183
Deferred Income Taxes 234 248
Deferred Credits and Other Liabilities 149 156
Shareholders' Equity (Deficit) (Note 6)
Common stock, par value $1 per share 124 124
Additional paid-in capital 1,821 1,821
Accumulated deficit (811) (895)
------ ------
1,134 1,050
Less: Common stock in treasury, at cost (976) (988)
Loan to ESOP (97) (99)
------ ------
Shareholders' Equity (Deficit) 61 (37)
------ ------
Total Liabilities and Shareholders' Equity
(Deficit) $1,978 $1,935
====== ======
</TABLE>
The successful efforts method of accounting is followed.
(See Accompanying Notes)
<PAGE>
<PAGE> 5
ORYX ENERGY COMPANY
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
<TABLE>
<CAPTION>
For the Six Months
Ended June 30
(Millions of Dollars) 1997 1996
(Unaudited)
<S> <C> <C>
Cash and Cash Equivalents From Operating Activities
Net income $ 89 $ 60
Adjustments to reconcile net income to net
cash from operating activities:
Depreciation, depletion and amortization 153 129
Dry hole costs and leasehold impairment 10 10
Deferred income taxes 16 28
Remeasurement of foreign deferred tax (2) -
Other 5 -
----- ----
271 227
Changes in working capital:
Accounts receivable and other current assets 31 (5)
Accounts payable and accrued liabilities (15) -
----- ----
Net Cash Flow Provided From Operating Activities 287 222
----- ----
Investing Activities
Capital expenditures (238) (185)
Proceeds from divestments, net of current taxes 1 4
Other (38) (11)
----- ----
Net Cash Flow Used For Investing Activities (275) (192)
----- ----
Financing Activities
Proceeds from borrowings 105 109
Repayments of long-term debt (122) (146)
ESOP Loan Repayment 2 -
----- ----
Net Cash Flow Used For Financing Activities (15) (37)
----- ----
Changes In Cash and Cash Equivalents (3) (7)
Cash and Cash Equivalents at Beginning of Period 9 20
----- ----
Cash and Cash Equivalents at End of Period $ 6 $13
===== ====
</TABLE>
(See Accompanying Notes)
<PAGE>
<PAGE> 6
ORYX ENERGY COMPANY
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
1. Basis of Presentation
The accompanying condensed consolidated financial statements
and related notes of Oryx Energy Company and its
subsidiaries (hereinafter, unless the context otherwise
requires, referred to as the Company) are presented in
accordance with the requirements of Form 10-Q and do not
include all disclosures normally required by generally
accepted accounting principles or those normally made in
annual reports on Form 10-K. In management's opinion, all
adjustments necessary for a fair presentation of the results
of operations for the periods shown have been made and are
of a normal recurring nature. The results of operations of
the Company for the six months ended June 30, 1997 are not
necessarily indicative of the results for the full year
1997.
Statements of Cash Flows
Amounts paid for interest and income taxes were as follows:
<TABLE>
<CAPTION>
Six Months Ended June 30
1997 1996
(Millions of Dollars)
<S> <C> <C>
Interest paid (net of capitalized
amounts) $ 58 $ 45
Income taxes paid $ 41 $ 2
</TABLE>
2. Provision for Restructuring
In the fourth quarter of 1995, the Company recognized a net
$25 million ($16 million after-tax) charge for restructuring
comprised of a $4 million adjustment to the 1994
restructuring provision and a $29 million restructuring
provision for a plan to achieve further cost reductions.
An analysis of the 1995 restructuring liability follows:
<TABLE>
<CAPTION>
1997 1997
Balance First Second Balance
at Quarter Quarter at
12/31/96 Activity Activity 6/30/97
(Millions of Dollars)
<S> <C> <C> <C> <C>
Office lease
obligation* $ 13 $ (1) $ (1) $ 11
==== ==== ==== ====
</TABLE>
* Represents contractual obligations existing prior
to the commitment date that will continue with no
economic benefit to the Company.
3. The Company utilizes collar, swap and put contracts to hedge
crude oil and natural gas prices.
<PAGE>
<PAGE> 7
ORYX ENERGY COMPANY
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(continued)
4. Income Taxes
The Company's provisions for income taxes for the three and
six months ended June 30, 1997 were $10 million and $45
million. Foreign income tax provisions included within the
Company's consolidated provisions are determined based upon
the appropriate foreign statutory rates which differ from
the U.S. statutory rate.
Deferred income taxes are provided to reflect the tax
consequences in future periods of differences between
financial statements and tax basis of assets and liabilities
at period end in accordance with Statement of Financial
Accounting Standards No. 109, "Accounting for Income Taxes"
(SFAS No. 109). The remeasurement provisions of SFAS No.
109 have affected the reported earnings of the Company.
Earnings for the three and six months ended June 30, 1997
decreased $2 million and increased $2 million while earnings
for the three months ended June 30, 1996 decreased $1
million from such remeasurement. Management believes that
such non-cash remeasurements distort current period economic
results and should be disregarded in analyzing the Company's
current business. Future economic results may also be
distorted because payment of the deferred tax liability is
not expected to occur in the near-term and it is likely that
exchange rates will fluctuate prior to the eventual
settlement of the liability.
5. Properties, Plants and Equipment
At June 30, 1997 and December 31, 1996, the Company's
properties, plants and equipment; and related accumulated
depreciation, depletion and amortization were as follows:
<TABLE>
<CAPTION>
June 30 December 31
1997 1996
(Millions of Dollars)
<S> <C> <C>
Gross investment ................. $5,456 $5,354
Less accumulated depreciation,
depletion and amortization ..... 3,751 3,727
------ ------
Net investment ................... $1,705 $1,627
====== ======
</TABLE>
<PAGE>
<PAGE> 8
ORYX ENERGY COMPANY
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(continued)
6. Shareholders' Equity (Deficit)
Shares of the Company's preferred and common stocks
authorized, issued, outstanding and in treasury at June 30,
1997 and December 31, 1996 were as follows:
<TABLE>
<CAPTION>
In
Authorized Issued Outstanding Treasury
(Thousands of Shares)
<S> <C> <C> <C> <C>
June 30, 1997
Preferred stock 15,000 - - -
Preference stock 7,741 - - -
Common stock 250,000 126,704 105,415 (18,287)
December 31, 1996
Preferred stock 15,000 - - -
Preference stock 7,741 - - -
Common stock 250,000 126,704 104,983 (18,719)
</TABLE>
7. Subsequent Events
On July 3, 1997, the Board of Directors of the Company
authorized a plan to repurchase up to $50 million of its 7 1/2
percent Convertible Subordinated Debentures Due 1999 through
2014. The purchases, if and when made, will be in the open
market from time to time depending on market conditions.
There is no specific deadline for the program.
<PAGE>
<PAGE> 9
REPORT OF INDEPENDENT ACCOUNTANTS
To the Shareholders and Board of Directors, Oryx Energy Company:
We have reviewed the accompanying condensed consolidated balance
sheet of Oryx Energy Company and its Subsidiaries as of June 30,
1997, the related condensed consolidated statements of income for
the three and six months ended June 30, 1997 and 1996, and the
related condensed consolidated statements of cash flows for the
six months ended June 30, 1997 and 1996. These 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 review 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 accompanying condensed
consolidated financial statements 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 Oryx Energy
Company and its Subsidiaries as of December 31, 1996, and the
related consolidated statements of income and cash flows for the
year then ended (not presented herein); and in our report dated
February 19, 1997, we expressed an unqualified opinion on those
consolidated financial statements. In our opinion, the
information set forth in the accompanying condensed consolidated
balance sheet as of December 31, 1996, is fairly stated, in all
material respects, in relation to the consolidated balance sheet
from which it has been derived.
/s/COOPERS & LYBRAND L.L.P.
Dallas, Texas
July 29, 1997
<PAGE>
<PAGE> 10
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations
FINANCIAL CONDITION
The Company's cash and cash equivalents decreased by $3 million
over the six months ended June 30, 1997. The decrease was
comprised of $287 million of net cash flow provided from
operating activities, $275 million of net cash flow used for
investing activities and $15 million of net cash flow used for
financing activities. The $287 million in net cash flow provided
from operating activities consisted of $271 million in net cash
flow provided from operating activities before changes in current
assets and liabilities and $16 million provided from changes in
current assets and liabilities. The $271 million in net cash
flow provided from operating activities before changes in current
assets and liabilities was primarily impacted by an increase in
crude oil and natural gas volumes, an increase in natural gas
prices, offset in part, by a decrease in crude oil prices. The
$16 million of net cash flow provided from changes in current
assets and liabilities consisted of a $31 million decrease in
accounts receivable and other current assets and a $15 million
decrease in accounts payable and accrued liabilities.
The $275 million in net cash flow used for investing activities
and the $15 million in net cash flow used for financing
activities are primarily due to cash uses of $238 million for
capital expenditures and $17 million from net decreases in debt.
In the fourth quarter of 1995, the Company incurred a net $25
million ($16 million after-tax) provision for restructuring
comprised of a $4 million adjustment to the 1994 restructuring
provision and a $29 million restructuring provision for a plan to
achieve further cost reductions. For an analysis of the
restructuring provision, see Note 2 to the Condensed Consolidated
Financial Statements.
During February 1997, the Financial Accounting Standards Board
(FASB) issued Statement of Financial Accounting Standard (SFAS)
No. 128, "Earning per Share," effective for fiscal years
beginning after December 15, 1997. The impact of this statement
when adopted, will not be material. In June 1997, the FASB
issued SFAS No. 130, "Reporting Comprehensive Income," and SFAS
No. 131, "Disclosures about Segments of an Enterprise and Related
Information," effective for fiscal years beginning after December
15, 1997. The impact of these statements when adopted, will not
be material.
On July 3, 1997, the Board of Directors of the Company authorized
a plan to repurchase up to $50 million of its 7 1/2 percent
Convertible Subordinated Debentures Due 1999 through 2014. The
purchases, if and when made, will be in the open market from time
to time depending on market conditions. There is no specific
deadline for the program.
RESULTS OF OPERATIONS - SIX MONTHS
The Company's net income for the six months ended June 30, 1997
was $89 million, or $.84 per share, as compared to net income of
$60 million, or $.57 per share for the first six months of 1996.
Revenues for the six months were $609 million in 1997 versus $500
million in 1996.
<PAGE>
<PAGE> 11
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations - continued
RESULTS OF OPERATIONS - SIX MONTHS (continued)
Average worldwide net production of crude oil and condensate for
the six months ended June 30, 1997 was 115 thousand barrels daily
compared to average net production for the six months ended June
30, 1996 of 100 thousand barrels daily. Average net production
of crude oil and condensate was 43 thousand barrels daily in the
United States and 72 thousand barrels daily from foreign
locations during the six months ended June 30, 1997, compared to
44 thousand barrels daily in the United States and 56 thousand
barrels daily from foreign locations during the six months ended
June 30, 1996. The worldwide crude oil and condensate price for
the first six months of 1997 was $18.87 per barrel compared to
$18.19 per barrel for the first six months of 1996.
Average worldwide net production of natural gas was 519 million
cubic feet daily for the six months ended June 30, 1997, compared
to 479 million cubic feet in the six months ended June 30, 1996.
Average net production of natural gas was 509 million cubic feet
daily in the United States and 10 million cubic feet daily from
the United Kingdom in the first six months of 1997, compared to
471 million cubic feet daily in the United States and 8 million
cubic feet daily in the United Kingdom in the first six months of
1996. The worldwide price of natural gas for the first six
months of 1997 was $2.41 per thousand cubic feet compared to
$1.99 per thousand cubic feet for the first six months of 1996.
RESULTS OF OPERATIONS - THREE MONTHS
The Company's net income for the quarter ended June 30, 1997 was
$23 million, or $.22 per share, as compared to net income of $28
million, or $.27 per share for the same quarter last year.
Revenues for the 1997 second quarter were $274 million versus
$253 million for the 1996 second quarter.
The 1997 second quarter includes a $2 million charge for the
remeasurement of foreign deferred taxes. By comparison, the 1996
second quarter included a $1 million net loss from asset sales
and a $1 million charge for remeasurement of foreign deferred
taxes.
Compared to the same quarter last year, worldwide crude oil
prices decreased by $1.22 per barrel and U.S. natural gas prices
increased by $.10 per thousand cubic feet. Crude oil volumes
increased by 12 thousand barrels per day or 12 percent and
natural gas volumes increased 29 million cubic feet per day or 6
percent.
Second quarter unit costs were higher than the same period last
year primarily due to higher operating costs, a result of timing
of U.K. North Sea maintenance and workover activities; increased
exploration costs, a direct result of higher exploration
activities; and increased production taxes, also in the U.K.
North Sea.
Prices have decreased from the higher levels realized in the
first quarter but are still well within our 1997 planning range
and should allow us to fully execute our exploration and
development programs. Exploration activity, which increased in
the second quarter, is expected to remain at high levels for the
rest of the year.
<PAGE>
<PAGE> 12
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations - continued
RESULTS OF OPERATIONS - THREE MONTHS (continued)
Average worldwide net production of crude oil and condensate for
the three months ended June 30, 1997 was 111 thousand barrels
daily compared to average net production for the three months
ended June 30, 1996 of 99 thousand barrels daily. Average net
production of crude oil and condensate was 46 thousand barrels
daily in the United States and 65 thousand barrels daily from
foreign locations during the three months ended June 30, 1997,
compared to 43 thousand barrels daily in the United States and 56
thousand barrels daily from foreign locations in the second
quarter of 1996. The worldwide crude oil and condensate price in
the second quarter of 1997 was $17.83 per barrel compared to
$19.05 per barrel in the second quarter of 1996.
Average worldwide net production of natural gas was 514 million
cubic feet daily for the three months ended June 30, 1997,
compared to 485 million cubic feet daily in the three months
ended June 30, 1996. Average net production of natural gas was
505 million cubic feet daily in the United States and 9 million
cubic feet daily from the United Kingdom in the second quarter of
1997, compared to 476 million cubic feet daily in the United
States and 9 million cubic feet daily from the United Kingdom in
the second quarter of 1996. The worldwide price of natural gas
for the second quarter of 1997 was $2.06 per thousand cubic feet
compared to $1.96 per thousand cubic feet in the second quarter
of 1996.
<PAGE>
<PAGE> 13
PART II
OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8-K
(a) Exhibits:
12 Computation of Consolidated Ratio of Earnings
to Fixed Charges and Earnings to Fixed Charges and
Preferred Stock Dividend Requirements.
15 Accountant's letter regarding unaudited
interim financial information.
27 Financial Data Schedule.
(b) Reports on Form 8-K:
The Company did not file any reports on Form 8-K
during the quarter ended June 30, 1997.
<PAGE>
<PAGE> 14
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.
ORYX ENERGY COMPANY
BY: /s/ E. W. Moneypenny
E. W. Moneypenny
(Executive Vice President,
Finance, and Chief Financial Officer)
DATE: July 29, 1997
<PAGE>
<PAGE> 15
EXHIBIT 12
ORYX ENERGY COMPANY
COMPUTATION OF CONSOLIDATED RATIO OF EARNINGS
TO FIXED CHARGES AND EARNINGS TO FIXED CHARGES AND PREFERRED
STOCK DIVIDEND REQUIREMENTS - UNAUDITED (a)
(Millions of Dollars)
<TABLE>
<CAPTION>
Three Months Six Months
Ended June 30 Ended June 30
1997 1997
<S> <C> <C>
RATIO OF EARNINGS TO FIXED CHARGES:
Fixed Charges:
Consolidated interest cost and debt expense $ 28 $ 55
Interest allocable to rental expense (b) 2 3
----- -----
Total $ 30 $ 58
===== =====
Earnings:
Consolidated income before provision for income
taxes $ 35 $ 132
Fixed charges 30 58
Interest capitalized (3) (8)
Amortization of previously capitalized interest 1 2
----- -----
Total $ 63 $ 184
===== =====
Ratio of Earnings to Fixed Charges 2.10 3.17
===== =====
RATIO OF EARNINGS TO FIXED CHARGES AND PREFERRED STOCK
DIVIDEND REQUIREMENTS:
Fixed Charges:
Consolidated interest cost and debt expense $ 28 $ 55
Preferred stock dividend requirements - -
Interest allocable to rental expense (b) 2 3
----- -----
Total $ 30 $ 58
===== =====
Earnings:
Consolidated income before provision for income
taxes $ 35 $ 132
Fixed charges 30 58
Interest capitalized (3) (8)
Amortization of previously capitalized interest 1 2
----- -----
Total $ 63 $ 184
===== =====
Ratio of Earnings to Fixed Charges 2.10 3.17
===== =====
</TABLE>
(a) The consolidated financial statements of Oryx Energy Company
include the accounts of all subsidiaries (more than 50
percent owned and/or controlled).
(b) Represents one-third of total operating lease rental expense
which is that portion deemed to be interest.
<PAGE>
<PAGE> 16
EXHIBIT 15
Securities and Exchange Commission
450 Fifth Street, Northwest
Washington, D.C. 20549
Attn.: Document Control
Re: Oryx Energy Company Form 10-Q
We are aware that our report dated July 29, 1997 on our review of
the interim condensed consolidated balance sheet of Oryx Energy
Company and its Subsidiaries as of June 30, 1997, the related
condensed consolidated statements of income for the three and six
months ended June 30, 1997 and 1996, and the related condensed
consolidated statements of cash flows for the six months ended
June 30, 1997 and 1996, included in this Form 10-Q, is
incorporated by reference in the following registration
statements:
Registration No.
On Form S-3 for:
Oryx Energy Company $500,000,000 Debt Securities;
Preferred Stock; and Common Stock 33-45611
Oryx Energy Company $600,000,000 Debt Securities 33-33361
Oryx Energy Company 7,259,394 shares of Common Stock 33-36799
On Form S-8 for:
Oryx Energy Company 1992 Long-Term Incentive Plan 33-42695
Oryx Energy Company Long-Term Incentive Plan 33-25032
Oryx Energy Company Capital Accumulation Plan 33-24918
Oryx Energy Company Equity and Deferred Compensation
Plan for Non-Employee Directors 333-03075
Oryx Energy Company Executive Variable Incentive Plan 333-03089
Oryx Energy Company 1997 Long-Term Incentive Plan 333-26563
Pursuant to Rule 436(c) under the Securities Act of 1933, this
report should not be considered a part of the registration
statement prepared or certified by us within the meaning of
Sections 7 and 11 of that Act.
/s/ COOPERS & LYBRAND L.L.P.
Dallas, Texas
July 29, 1997
<PAGE>
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM SEC FORM
10-Q AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<MULTIPLIER> 1,000,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-END> JUN-30-1997
<CASH> 6
<SECURITIES> 0
<RECEIVABLES> 175
<ALLOWANCES> 0
<INVENTORY> 3
<CURRENT-ASSETS> 216
<PP&E> 5456
<DEPRECIATION> (3751)
<TOTAL-ASSETS> 1978
<CURRENT-LIABILITIES> 368
<BONDS> 1166
0
0
<COMMON> 1945
<OTHER-SE> (1884)
<TOTAL-LIABILITY-AND-EQUITY> 1978
<SALES> 618
<TOTAL-REVENUES> 609
<CGS> 369
<TOTAL-COSTS> 369
<OTHER-EXPENSES> 61
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 47
<INCOME-PRETAX> 132
<INCOME-TAX> 43
<INCOME-CONTINUING> 89
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 89
<EPS-PRIMARY> .84
<EPS-DILUTED> .84
</TABLE>
