<PAGE> 1
================================================================================
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
------------------------------------
FORM 8-K
Current Report Filed Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934
Date of Report
(Date of earliest event reported): June 1, 1999
FORCENERGY INC
Debtor-In-Possession
(Exact name of registrant as specified in its charter)
<TABLE>
Delaware 0-26444 65-0429338
<S> <C> <C>
(State or other jurisdiction of (Commission File Number) (I.R.S. Employer
incorporation or organization) Identification No.)
</TABLE>
2730 S.W. 3rd Avenue, Suite 800
Miami, Florida 33129-2356
(Address of principal
executive offices
and zip code)
(305) 856-8500
(Registrant's telephone number,
including area code)
------------------------------------
<PAGE> 2
ITEM 5. OTHER EVENTS
On March 21, 1999 (the "Petition Date"), Forcenergy Inc.
("Forcenergy") and its wholly-owned subsidiary, Forcenergy Resources, Inc.
("Resources"), each filed separate petitions for relief under Chapter 11 of
Title 11 of the United States Code (the "Bankruptcy Code"), 11 U.S.C. Section
101 ET SEQ., with the United States Bankruptcy Court for the Eastern District of
Louisiana (the "Bankruptcy Court"), under Case Nos. 99-11391 "A" and 99-11392
"A", respectively. Pursuant to Sections 1107 and 1108 of the Bankruptcy Code,
Forcenergy and Resources are continuing to operate their businesses and manage
their properties as debtors-in-possession.
The Company has recently petitioned the Securities and Exchange
Commission (the "Commission") for relief of periodic reporting requirements
under the Exchange Act of 1934, specifically, Forms 10-K and 10-Q. In its
petition the Company has requested that instead of Forms 10-K and 10-Q that it
be permitted to file the monthly reports to the Bankruptcy Court with the
Commission under Form 8-K. The request is still under consideration by the
Commission. The contents of this Item 5 files the first report to the Bankruptcy
Court filed on June 1, 1999 for the period from March 22, 1999 to April 30,
1999.
MONTHLY OPERATING REPORT
Chapter 11
CASE NAME: FORCENERGY INC NO. 99-11391 "A"
jointly administered with
FORCENERGY RESOURCES INC NO. 99-11392 "A"
For Period MARCH 22, 1999 TO APRIL 30, 1999
================================================================================
THIS REPORT IS DUE 30 DAYS AFTER THE END OF THE MONTH.
Mark One Box for each The debtor must attach each of the following reports
Required Report/Documents unless the United States Trustee has waived the
requirement in writing. File original with Clerk of
Court and duplicate with UST with an original
signature.
- --------------------------------------------------------------------------------
Report/Document Previously
Attached Waived REQUIRED REPORTS/DOCUMENTS
================================================================================
( X ) ( ) Comparative Balance Sheet (FORM 2-B)
NOTE: SEE ENCLOSED MONTHLY FINANCIAL PACKAGE
( X ) ( ) Profit and Loss Statement (FORM 2-C)
NOTE: SEE ENCLOSED MONTHLY FINANCIAL PACKAGE
( X ) ( ) Cash Receipts & Disbursements Statement
(FORM 2-D)
( X ) ( ) Supporting Schedules (FORM 2-E)
NOTE: SEE ENCLOSED MONTHLY FINANCIAL PACKAGE FOR SUMMARY ACCOUNTS
PAYABLE AGING AND SUMMARY ACCOUNTS RECEIVABLE AGING
( X ) ( ) Narrative (FORM 2-F)
( X ) ( ) Copies of Bank Statement(s) and
Reconciliations of Bank Balance to Book
Balance for all Account(s)
================================================================================
I declare under penalty of perjury that the following Monthly Financial Report
and any attachments thereto, are true and correct to the best of my knowledge
and belief.
Executed on: May 28, 1999 Debtor (s)
------------ --------------------------
--------------------------
By: E. Joseph Grady
Position: Vice-President, Chief
Financial Officer
& Treasurer
Telephone No.:
of Preparer 305-856-8500
FORM 2-A
5/96
<PAGE> 3
FORCENERGY INC NO. 99-11391 "A"
JOINTLY ADMINISTERED WITH
FORECENERGY RESOURCES INC NO. 99-11392 "A"
Consolidated Monthly Financial Package
(Historical Cost Basis)
April 1999
(From March 22 to April 30)
<PAGE> 4
FORCENERGY INC
TABLE OF CONTENTS
4/30/99
Page
----
Highlights - Current Month............................................ 1
Highlights - Current Quarter.......................................... 2
Consolidated Statement of Income...................................... 3
Consolidated Balance Sheet............................................ 4
Consolidated Statement of Cash Flows.................................. 5
Summary of Production Activity........................................ 6
Revenue by Region - Accrual Basis..................................... 7
Production by Region - Accrual Basis.................................. 8
Field Prices by Region - Accrual Basis................................ 9
Lease Operating Expenses by Region - Accrual Basis.................... 10
General and Administrative Expense Summary - Total Company............ 11
Actual/Budget Comparison - Capital Expenditures Summary............... 12
Trended Statement of Operations ...................................... 13
Trended Balance Sheet................................................. 14
Trended Statement of Cash Flows....................................... 15
Accrued Revenue Receivable Analysis................................... 16
Post-Petition Accounts Payable Aging.................................. 17
<PAGE> 5
FORCENERGY INC
HIGHLIGHTS
(IN THOUSANDS, EXCEPT RATIOS)
4/30/99
<TABLE>
<CAPTION>
CURRENT MONTH YEAR TO DATE
------------------------------- --------------------------------
OPERATIONS ACTUAL BUDGET VARIANCE ACTUAL BUDGET VARIANCE
------------------------------- --------------------------------
PRODUCTION:
<S> <C> <C> <C> <C> <C> <C>
Oil (mbbls) 855 -- 855 2,619 -- 2,619
Plant Products (mbbls) 33 -- 33 95 -- 95
------------------------------- --------------------------------
Total mbbls 888 -- 888 2,714 -- 2,714
------------------------------- --------------------------------
Gas (mmcf) 7,648 -- 7,648 23,651 -- 23,651
------------------------------- --------------------------------
Total (mboe) 2,163 -- 2,163 6,656 -- 6,656
------------------------------- --------------------------------
AVERAGE FIELD PRICES
Oil ($/bbl) $ 13.45 $ -- $ 13.45 $ 11.40 $ -- $ 11.40
Plant Products ($/bbl) 8.42 -- 8.42 7.59 -- 7.59
Gas ($/mcf) 1.76 -- 1.76 1.73 -- 1.73
------------------------------- --------------------------------
Equivalent ($/boe) $ 11.70 $ -- $ 11.70 $ 10.73 $ -- $ 10.73
PRICES, AFTER HEDGING
Oil ($/bbl) $ 13.45 $ -- $ 13.45 $ 11.95 $ -- $ 11.95
Liquids ($/bbl) $ 8.42 $ -- $ 8.42 $ 7.57 $ -- $ 7.57
Gas ($/mcf) $ 1.76 $ -- $ 1.76 $ 1.99 $ -- $ 1.99
Oil (average NYMEX) $ 16.95 $ -- $ 16.95 $ 13.86 $ -- $ 13.86
Gas (average NYMEX) $ 1.85 $ -- $ 1.85 $ 1.78 $ -- $ 1.78
FINANCIAL
REVENUE
Oil $ 11,484 $ -- $ 11,484 $ 29,846 $ -- $ 29,846
Plant Products 278 -- 278 720 -- 720
------------------------------- --------------------------------
Subtotal - Liquids 11,762 -- 11,762 30,566 -- 30,566
Gas 13,483 -- 13,483 40,881 -- 40,881
------------------------------- --------------------------------
Subtotal - Oil & Gas 25,245 -- 25,245 71,447 -- 71,447
Other, including hedging 20 -- 20 8,024 -- 8,024
------------------------------- --------------------------------
Total Revenue $ 25,265 $ -- $ 25,265 $ 79,471 $ -- $ 79,471
Gross Operating Income
(excl. hedging gain/(loss)) $ 124 $ -- $ 124 $(10,829) $ -- $(10,829)
Net Income/(Loss)(1) $ 762 $ -- $ 762 $(14,176) $ -- $(14,176)
Weighted Avg. Shares O/S - Basic 24,754 -- 24,754 24,750 -- 24,750
Weighted Avg. Shares O/S - Diluted 24,754 -- 24,754 24,750 -- 24,750
Earnings per Share - Basic $ 0.03 $ -- $ 0.03 $ (0.57) $ -- $ (0.57)
Earnings per Share - Diluted $ 0.03 $ -- $ 0.03 $ (0.57) $ -- $ (0.57)
CAPITAL EXPENDITURES
Acquisition/property sales $ 282 $ -- $ 282 $ 252 $ -- $ 252
Exploration/development 768 -- 768 15,882 -- 15,882
------------------------------- --------------------------------
Total $ 1,049 $ -- $ 1,049 $ 16,134 $ -- $ 16,134
CASH FLOW
EBITDA $ 20,646 $ -- $ 20,646 $ 46,527 $ -- $ 46,527
EBITDA/Mboe produced $ 9.55 $ -- $ 9.55 $ 6.99 $ -- $ 6.99
Discretionary Cash Flow (DCF) $ 14,297 $ -- $ 14,297 $ 26,602 $ -- $ 26,602
DCF per Share - Basic $ 0.58 $ -- $ 0.58 $ 1.07 $ -- $ 1.07
DCF per Share - Diluted $ 0.58 $ -- $ 0.58 $ 1.07 $ -- $ 1.07
</TABLE>
- -----------------
(1) The settlement of terminated hedging contracts existing as of the Filing
Date, amounting to $5.7 million during this period, is recorded in Interest &
Other Income. Recurring hedging gains and losses, if any, are included in
revenue.
1
<PAGE> 6
FORCENERGY INC
HIGHLIGHTS - QUARTERLY
(IN THOUSANDS, EXCEPT PER BOE AMOUNTS)
4/30/99
<TABLE>
<CAPTION>
1st Quarter -------------------------------- Year-to- Year-to-
Actual April Total Budget Actual Budget
-------- -------------------------------- ------------------------
<S> <C> <C> <C> <C> <C> <C>
FINANCIAL:
Revenue $ 54,206 $ 25,265 $ 25,265 $ -- $ 79,471 $ --
Expenses 57,412 25,141 $ 25,141 -- 82,553 --
-------- -------------------------------- ------------------------
Income from Operations (3,206) $ 124 $ 124 -- $ (3,082) --
Other Income/Expense(1) (11,732) 638 638 -- (11,094) --
-------- -------------------------------- ------------------------
Net Income/(Loss) $(14,938) $ 762 $ 762 $ -- (14,176) $ --
======== ================================ ========================
Weighted Avg. Shares O/S - Basic 24,750 24,754 24,754 -- 24,750 --
Weighted Avg. Shares O/S - Diluted 24,750 24,754 24,754 -- 24,750 --
Earnings per Share - Basic $ (0.60) $ 0.03 $ 0.03 $ -- $ (0.57) $ --
Earnings per Share - Diluted $ (0.59) $ 0.03 $ 0.03 $ -- $ (0.57) $ --
EBITDA $ 25,881 $ 20,646 $ 20,646 $ -- $ 46,527 $ --
EBITDA per BOE $ 5.76 $ 9.55 $ 9.55 $ -- $ 6.99 $ --
Discretionary Cash Flow $ 12,781 $ 14,297 $ 14,297 $ -- $ 26,602 $ --
DCF per Share - Basic $ 0.52 $ 0.58 $ 0.58 $ -- $ 1.07 $ --
DCF per Share - Diluted $ 0.50 $ 0.58 $ 0.57 $ -- $ 1.07 $ --
PRODUCTION:
Oil (mbbls) 1,764 855 855 -- 2,619 --
Plant Products (mbbls) 62 33 33 -- 95 --
-------- -------------------------------- ------------------------
Total mbbls 1,826 888 888 -- 2,714 --
-------- -------------------------------- ------------------------
Gas (mmcf) 16,003 7,648 7,648 -- 23,651 --
-------- -------------------------------- ------------------------
Total (mboe) 4,493 2,163 2,163 -- 6,656 --
-------- -------------------------------- ------------------------
AVERAGE FIELD PRICES:
Oil ($/bbl) $ 10.41 $ 13.45 $ 13.45 $ -- $ 11.40 $ --
Plant Products ($/bbl) $ 7.15 $ 8.42 $ 8.36 $ -- $ 7.59 $ --
Gas ($/mcf) $ 1.71 $ 1.76 $ 1.76 $ -- $ 1.73 $ --
-------- -------------------------------- ------------------------
Equivalent ($/boe) $ 10.59 $ 11.67 $ 11.67 $ -- $ 10.73 $ --
PRICES, AFTER HEDGING:
Oil ($/bbl) $ 10.75 $ 13.45 $ 13.45 $ -- $ 11.95 $ --
Plant Products ($/bbl) $ 10.69 $ 8.42 $ 8.36 $ -- $ 7.57 $ --
Gas ($/mcf) $ 2.13 $ 1.76 $ 1.76 $ -- $ 1.99 $ --
Oil (average NYMEX) $ 12.82 $ 16.95 $ 16.95 $ -- $ 13.86 $ --
Gas (average NYMEX) $ 1.75 $ 1.85 $ 1.85 $ -- $ 1.78 $ --
PER BOE:
REVENUE
Oil and Gas Sales $ 10.28 $ 11.67 $ 11.67 $ -- $ 10.73 $ --
Hedging gain/(loss) 1.72 -- -- -- 1.16 --
-------- -------------------------------- ------------------------
Total Oil and Gas Sales 12.00 11.67 11.67 -- 11.90 --
Other 0.06 0.01 0.01 -- 0.04 --
-------- -------------------------------- ------------------------
Total Revenue 12.06 11.68 11.68 -- 11.94 --
-------- -------------------------------- ------------------------
EXPENSES
Lease Operating Expenses 5.20 4.58 4.59 -- 5.00 --
Production Taxes 0.19 0.21 0.21 -- 0.19 --
Dep. Deprec & Amortiz 6.45 6.45 6.45 -- 6.45 --
General & Administrative 0.79 0.48 0.48 -- 0.69 --
Reorganization Charges -- (0.10) (0.10) -- 0.07 --
-------- -------------------------------- ------------------------
Total Expenses 12.63 11.72 11.73 -- 12.33 --
-------- -------------------------------- ------------------------
Income from Operations $ (0.57) $ (0.04) $ (0.05) $ -- $ (0.39) $ --
======== ================================ ========================
CAPITAL EXPENDITURES:
Acquisition/property sales $ (30) $ 282 $ 282 $ -- $ 252 $ --
Exploration/development 15,114 768 $ 768 -- 15,882 --
-------- -------------------------------- ------------------------
Total $ 15,084 $ 1,049 $ 1,049 $ -- $ 16,134 $ --
</TABLE>
- ------------------
(1) April includes 5.7 million from settlement of terminated hedging contracts.
2
<PAGE> 7
FORCENERGY INC
CONSOLIDATED STATEMENT OF INCOME
(IN THOUSANDS, EXCEPT PER BOE AMOUNTS)
4/30/99
<TABLE>
<CAPTION>
CURRENT MONTH YEAR TO DATE
------------------------------- -------------------------------------
ACTUAL BUDGET VARIANCE ACTUAL BUDGET VARIANCE
------------------------------- -------------------------------------
<S> <C> <C> <C> <C> <C> <C>
REVENUE
Oil and Gas Sales $ 25,245 $ -- $ 25,245 $ 71,446 $ -- $ 71,446
Hedging gain/(loss) -- -- -- 7,747 -- 7,747
-------- -------- -------- -------- --------- --------
Total Oil and Gas Sales 25,245 -- 25,245 79,193 -- 79,193
Other 20 -- 20 278 -- 278
-------- -------- -------- -------- --------- --------
Total Revenue 25,265 -- 25,265 79,471 -- 79,471
-------- -------- -------- -------- --------- --------
EXPENSES
Lease Operating Expenses 9,918 -- 9,918 33,294 -- 33,294
Production Taxes 445 -- 445 1,290 -- 1,290
Dep. Deprec & Amortiz 13,958 -- 13,958 42,942 -- 42,942
General & Administrative 1,037 -- 1,037 4,570 -- 4,570
Reorganization Charges (217) -- (217) 457 -- 457
-------- -------- -------- -------- --------- --------
Total Expenses 25,141 -- 25,141 82,553 -- 82,553
-------- -------- -------- -------- --------- --------
INCOME FROM OPERATIONS 124 -- 124 (3,082) -- (3,082)
Interest and Other Income(1) 6,564 -- 6,564 6,667 -- 6,667
Interest Expense, net of cap (5,926) -- (5,926) (17,761) -- (17,761)
Income Tax (Provision) Benefit -- -- -- -- -- --
-------- -------- -------- -------- --------- --------
NET INCOME/(LOSS) $ 762 $ -- $ 762 $(14,176) $ -- $(14,176)
======== ======== ======== ======== ========= ========
EBITDA: $ 20,646 $ -- $ 20,646 $ 46,527 -- $ 46,527
DISCRETIONARY CASH FLOW (DCF): $ 14,297 $ -- $ 14,297 $ 26,602 -- $ 26,602
PER BOE:
REVENUE
Oil and Gas Sales $ 11.67 $ -- $ 11.67 $ 10.73 $ -- $ 10.73
Hedging gain/(loss) -- -- -- 1.16 -- 1.15
-------- -------- -------- -------- --------- --------
Total Oil and Gas Sales 11.67 -- 11.67 11.90 -- 11.88
Other 0.01 -- 0.01 0.04 -- 0.04
-------- -------- -------- -------- --------- --------
Total Revenue 11.68 -- 11.68 11.94 -- 11.93
EXPENSES
Lease Operating Expenses 4.58 -- 4.58 5.00 -- 5.00
Production Taxes 0.21 -- 0.21 0.19 -- 0.19
Dep. Deprec & Amortiz 6.45 -- 6.45 6.45 -- 6.45
General & Administrative 0.48 -- 0.48 0.69 -- 0.69
Reorganization Charges (0.10) -- (0.10) 0.07 -- 0.07
-------- -------- -------- -------- --------- --------
Total Expenses 11.72 -- 11.72 12.33 -- 12.33
-------- -------- -------- -------- --------- --------
-------- -------- -------- -------- --------- --------
INCOME FROM OPERATIONS (0.04) -- (0.04) (0.39) -- (0.40)
======== ======== ======== ======== ========= ========
EBITDA $ 9.54 -- $ 9.54 $ 6.99 $ -- $ 6.99
======== ======== ======== ======== ========= ========
</TABLE>
- ----------------
(1) Includes 5.7 million from settlement of terminated hedging contracts.
3
<PAGE> 8
FORCENERGY INC
CONSOLIDATED BALANCE SHEET
(IN THOUSANDS, EXCEPT RATIOS)
4/30/99
<TABLE>
<CAPTION>
CURRENT PRIOR PRIOR
MONTH MONTH BUDGET YEAR-END
----------- ----------- --------- -----------
ASSETS
<S> <C> <C> <C> <C>
Cash - non-debtor $ 2,025 $ 1,775 $ -- $ 1,690
Cash - debtor 34,552 4,809 -- --
Accounts Receivable 33,234 33,970 -- 28,433
Prepaid Expenses 2,742 2,815 -- 3,635
Other 14,516 15,016 -- 16,033
----------- ----------- --------- -----------
TOTAL CURRENT ASSETS 87,069 58,385 -- 49,791
----------- ----------- --------- -----------
PROPERTY AND EQUIPMENT AT COST
Oil and Gas Properties 1,495,642 1,494,757 -- 1,479,709
Office Equipment 10,022 9,847 -- 9,809
----------- ----------- --------- -----------
1,505,664 1,504,604 -- 1,489,518
Accumulated Depletion, Depreciation & Amortization (921,512) (907,554) -- (878,570)
----------- ----------- --------- -----------
NET PROPERTY & EQUIPMENT 584,152 597,050 -- 610,948
----------- ----------- --------- -----------
OTHER ASSETS 12,658 12,425 -- 17,729
----------- ----------- --------- -----------
TOTAL ASSETS $ 683,879 $ 667,860 -- $ 678,468
=========== =========== ========= ===========
LIABILITIES & STOCKHOLDER'S EQUITY
Accounts Payable $ 3,386 -- -- --
Revenue and Royalties Payable 2,700 -- -- --
Accrued Interest 6,271 -- -- --
Accrued Drilling Costs 774 -- -- --
Other Accrued Expenses 8,834 -- -- --
----------- ----------- --------- -----------
TOTAL POST-PETITION LIABILITIES 21,965 -- -- --
----------- ----------- --------- -----------
Accounts Payable 63,061 53,405 -- 42,183
Revenue and Royalties Payable 2,967 6,002 -- 4,588
Accrued Interest 9,019 9,019 -- 10,799
Accrued Drilling Costs 5,314 11,198 -- 25,725
Other Accrued Expenses 6,196 13,641 -- 23,724
Current Maturities of Long-term Debt 689,473 689,473 -- 27,112
----------- ----------- --------- -----------
TOTAL PRE-PETITION LIABILITIES 776,030 782,738 -- 134,131
----------- ----------- --------- -----------
----------- ----------- --------- -----------
TOTAL CURRENT LIABILITIES 797,995 782,738 -- --
----------- ----------- --------- -----------
LONG-TERM DEBT -- -- -- 644,588
----------- ----------- --------- -----------
DEFERRED TAXES -- -- -- --
----------- ----------- --------- -----------
STOCKHOLDER'S EQUITY
Common Stock 248 248 -- 247
Capital in excess of par value 346,446 346,446 -- 346,136
Retained Earnings (Deficit) - Post-petition 762 -- -- (446,634)
Retained Earnings (Deficit) - Pre-petition (461,572) (461,572)
----------- ----------- --------- -----------
TOTAL STOCKHOLDERS EQUITY (114,116) (114,878) -- (100,251)
----------- ----------- --------- -----------
TOTAL LIABILITIES AND STOCKHOLDER'S EQUITY $ 683,879 $ 667,860 -- $ 544,337
=========== =========== ========= ===========
OUTSTANDING COMMON SHARES 24,755 24,754 -- 24,747
</TABLE>
4
<PAGE> 9
FORCENERGY INC
CONSOLIDATED STATEMENT OF CASH FLOWS
(IN THOUSANDS)
4/30/99
<TABLE>
<CAPTION>
CURRENT MONTH YEAR TO DATE
-------------------------------- --------------------------------
ACTUAL BUDGET VARIANCE ACTUAL BUDGET VARIANCE
-------------------------------- --------------------------------
<S> <C> <C> <C> <C> <C>
OPERATING ACTIVITIES:
Net Income $ 762 $ -- $ 762 $(14,176) $ -- $(14,176)
Equity in Net Income of Subsidiary (352) -- (352) (570) -- (570)
Dep, Deprec & Amort 13,958 -- 13,958 42,942 -- 42,942
Amort. of Debt Issuance Costs 120 -- 120 453 -- 453
Deferred Interest -- -- -- -- -- --
Deferred taxes -- -- -- -- -- --
Other -- -- -- -- -- --
-------------------------------- --------------------------------
Net cash provided by operating activities 14,488 -- 14,488 28,649 -- 28,649
before changes in working capital
Changes in Assets and Liabilities:
Accounts Receivable 736 -- 736 (4,801) -- (4,801)
Prepaid Expenses 73 -- 73 893 -- 893
Other Short-term Assets 500 -- 500 1,517 -- 1,517
POST-PETITION:
Accounts Payable 3,386 -- 3,386 3,386 -- 3,386
Revenue and Royalties Payable 2,700 -- 2,700 2,700 -- 2,700
Accrued Interest 6,271 -- 6,271 6,271 -- 6,271
Accrued Drilling Costs 774 -- 774 774 -- 774
Other Accrued Expenses 8,834 -- 8,834 8,834 -- 8,834
PRE-PETITION:
Accounts Payable 9,656 -- 9,656 20,878 -- 20,878
Revenue and Royalties Payable (3,035) -- (3,035) (1,621) -- (1,621)
Accrued Interest (1) -- (1) (1,780) -- (1,780)
Accrued Drilling Costs (5,884) -- (5,884) (20,411) -- (20,411)
Other Accrued Expenses (7,445) -- (7,445) (17,528) -- (17,528)
Deferred Taxes -- -- -- -- -- --
-------------------------------- --------------------------------
Total cash from operations 31,053 -- 31,053 27,761 -- 27,761
-------------------------------- --------------------------------
INVESTING ACTIVITIES:
Acquisitions of oil & gas properties (282) -- (282) (252) -- (252)
Capital expenditures (768) -- (768) (15,882) -- (15,882)
Sale of oil & gas properties (10) -- (10) (12) -- (12)
Increase in Other Assets -- -- -- 5,188 -- 5,188
Dividends received from subsidiary -- -- -- -- -- --
-------------------------------- --------------------------------
Total cash from investing activities (1,060) -- (1,060) (10,958) -- (10,958)
-------------------------------- --------------------------------
FINANCING ACTIVITIES:
Borrowings under senior credit facility -- -- -- 26,473 -- 26,473
Repayments under senior credit facility -- -- -- (8,700) -- (8,700)
Issuance of long-term debt -- -- -- -- -- --
Proceeds from sale of common stock -- -- -- 311 -- 311
-------------------------------- --------------------------------
Total cash provided by financing activities -- -- -- 18,084 -- 18,084
-------------------------------- --------------------------------
NET INCR (DECR) IN CASH 29,993 -- 29,993 34,887 -- 34,887
CASH AT BEGINNING OF PERIOD 6,584 -- 6,584 1,690 -- 1,690
-------------------------------- --------------------------------
CASH AT END OF PERIOD $ 36,577 $ -- $ 36,577 $ 36,577 $ -- $ 36,577
================================ ================================
</TABLE>
5
<PAGE> 10
FORCENERGY INC
SUMMARY OF PRODUCTION ACTIVITY
(IN THOUSANDS)
4/30/99
<TABLE>
<CAPTION>
CURRENT MONTH
--------------------------------------------------------------------------------------------------------
REVENUE
---------------------------------------------
PRODUCTION AVERAGE PRICE VARIANCE
------------------------ ------------------------------ -------------------------
ACTUAL BUDGET VARIANCE ACTUAL BUDGET VARIANCE ACTUAL BUDGET VOLUME PRICE TOTAL
------------------------ ------------------------------ ---------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
OIL
Actual sales 855 -- 855 $ 13.45 $ -- $ 13.45 $11,484 $ -- $11,501 $ -- $11,501
Hedging gain/(loss) -- -- -- -- -- -- -- -- -- -- --
------------------------------ ----------------------------------------------
Total $ 13.45 $ -- $ 13.45 11,484 -- 11,501 -- 11,501
------------------------------ ----------------------------------------------
% Hedged 0% 0% 0%
GAS
Actual sales 7,648 -- 7,648 $ 1.76 $ -- $ 1.76 13,483 -- $13,483 $ -- 13,483
Hedging gain/(loss) -- -- -- -- -- -- -- -- -- -- --
------------------------------ ----------------------------------------------
Total $ 1.76 $ -- $ 1.76 13,483 -- 13,483 -- 13,483
------------------------------ ----------------------------------------------
% Hedged 0% 0% 0%
Plant products 33 -- 33 $ 8.42 $ -- $ 8.42 278 -- 269 -- 269
Salt Water Disposal -- -- -- $ 0.32 $ -- $ 0.32 -- -- -- -- --
Sulfur -- -- -- $ 21.50 $ -- $ 21.50 -- -- -- -- --
Other 20 -- 20 -- 20
----------------------------------------------
Total Revenue $25,265 $ -- $ 25,273 $ -- $25,273
==============================================
</TABLE>
<TABLE>
<CAPTION>
YEAR TO DATE
-----------------------------------------------------------------------------------------------------------
REVENUE
--------------------------------------------------
AVERAGE PRICE VARIANCE
PRODUCTION ------------------------ ------------------------------
ACTUAL BUDGET VARIANCE ACTUAL BUDGET VARIANCE ACTUAL BUDGET VOLUME PRICE TOTAL
------------------------- ------------------------ --------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
OIL
Actual sales 2,619 -- 2,619 $11.39 $ -- $11.39 $ 29,845 $ -- $ 29,829 $ 3 $29,832
Hedging gain/(loss) 450 -- 450 0.56 -- 0.56 1,468 -- -- 1,468 1,468
------------------------ --------------------------------------------------
Total $11.95 $ -- $11.95 $ 31,313 $ -- 29,829 1,471 31,300
------------------------ --------------------------------------------------
% Hedged 17% 17%
GAS
Actual sales 23,651 -- 23,651 $ 1.73 $ -- $ 1.73 40,881 -- $ 40,883 $ -- 40,883
Hedging gain/(loss) 11,730 -- 11,730 0.27 -- 0.27 6,279 -- -- 6,279 6,279
------------------------ --------------------------------------------------
Total $ 1.99 $ -- $ 1.99 47,160 -- 40,883 6,279 47,162
------------------------ --------------------------------------------------
% Hedged 50% 50%
Plant products 95 -- 95 $ 7.59 $ -- $ 7.59 721 -- 724 -- 724
Salt Water Disposal 38 -- 38 $ 0.32 $ -- $ 0.32 12 -- -- 12 12
Sulfur 0.19 -- 0.19 $21.50 $ -- $21.50 4 -- -- 4 4
Other 261 -- 261 -- 261
---------------------------------------------------
Total Revenue $ 79,471 $ -- $ 71,697 $ 7,766 $79,463
===================================================
</TABLE>
6
<PAGE> 11
FORCENERGY INC
REVENUE BY REGION
ACCRUAL BASIS
(IN THOUSANDS)
04/30/99
<TABLE>
<CAPTION>
CURRENT MONTH QUARTER TO DATE YEAR TO DATE QUARTERLY
---------------------- ------------------------ ----------------------- -----------------------------------
ACTUAL BUDGET VARIANCE ACTUAL BUDGET VARIANCE ACTUAL BUDGET VARIANCE 1Q 2Q 3Q 4Q
---------------------- ------------------------ ----------------------- -----------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Oil Revenue
Gulf of Mexico $ 5,120 $ -- $ 5,120 $ 5,120 $ -- $ 5,120 $13,785 $ -- $13,785 $ 8,665 $ 5,120 $ -- $ --
Alaska 4,049 -- 4,049 4,049 -- 4,049 9,628 -- 9,628 5,579 4,049 -- --
Onshore 2,315 -- 2,315 2,315 -- 2,315 6,432 -- 6,432 4,117 2,315 -- --
International -- -- -- -- -- -- -- -- -- -- -- -- --
---------------------- ------------------------ ----------------------- -----------------------------------
Total $11,484 $ -- $11,484 $11,484 $ -- $11,484 $29,845 $ -- $29,845 $18,361 $11,484 $ -- $ --
---------------------- ------------------------ ----------------------- -----------------------------------
Products
Gulf of Mexico $ 136 $ -- $ 136 $ 136 $ -- $ 136 $ 362 $ -- $ 362 $ 226 $ 136 $ -- $ --
Alaska -- -- -- -- -- -- -- -- -- -- -- -- --
Onshore 142 -- 142 142 -- 142 359 -- 359 217 142 -- --
International -- -- -- -- -- -- -- -- -- -- -- -- --
---------------------- ------------------------ ----------------------- -----------------------------------
Total $ 278 $ -- $ 278 $ 278 $ -- $ 278 $ 721 $ -- $ 721 $ 443 $ 278 $ -- $ --
---------------------- ------------------------ ----------------------- -----------------------------------
Total Liquids
Gulf of Mexico $ 5,256 $ -- $ 5,256 $ 5,256 $ -- $ 5,256 $14,147 $ -- $14,147 $ 8,891 $ 5,256 $ -- $ --
Alaska 4,049 -- 4,049 4,049 -- 4,049 9,628 -- 9,628 5,579 4,049 -- --
Onshore 2,457 -- 2,457 2,457 -- 2,457 6,791 -- 6,791 4,334 2,457 -- --
International -- -- -- -- -- -- -- -- -- -- -- -- --
---------------------- ------------------------ ----------------------- -----------------------------------
Total $11,762 $ -- $11,762 $11,762 $ -- $11,762 $30,566 $ -- $30,566 $18,804 $11,762 $ -- $ --
---------------------- ------------------------ ----------------------- -----------------------------------
Natural Gas
Gulf of Mexico $12,294 $ -- $12,294 $12,294 $ -- $25,245 $37,365 $ -- $37,365 $25,071 $12,294 -- $ --
Alaska -- -- -- -- -- -- -- -- -- -- -- -- --
Onshore 1,189 -- 1,189 1,189 -- 1,189 3,516 -- 3,516 2,327 1,189 -- --
International -- -- -- -- -- -- -- -- -- -- -- -- --
---------------------- ------------------------ ----------------------- -----------------------------------
Total $13,483 $ -- $13,483 $13,483 $ -- $13,483 $40,881 $ -- $40,881 $27,398 $13,483 $ -- $ --
---------------------- ------------------------ ----------------------- -----------------------------------
Total Equivalents
Gulf of Mexico $17,550 $ -- $17,550 $17,550 $ -- $25,245 $51,512 $ -- $51,512 $33,962 $17,550 $ -- $ --
Alaska 4,049 -- 4,049 4,049 -- 4,049 9,628 -- 9,628 5,579 4,049 -- --
Onshore 3,646 -- 3,646 3,646 -- 3,646 10,307 -- 10,307 6,661 3,646 -- --
International -- -- -- -- -- -- -- -- -- -- -- -- --
---------------------- ------------------------ ----------------------- -----------------------------------
Total $25,245 $ -- $25,245 $25,245 $ -- $25,245 $71,447 $ -- $71,44 $46,202 $25,245 $ -- $ --
====================== ======================== ======================= ===================================
</TABLE>
7
<PAGE> 12
FORCENERGY INC
PRODUCTION BY REGION
ACCRUAL BASIS
(IN THOUSANDS)
04/30/99
<TABLE>
<CAPTION>
CURRENT MONTH QUARTER TO DATE YEAR TO DATE QUARTERLY
----------------------- ---------------------- ----------------------- --------------------------------
ACTUAL BUDGET VARIANCE ACTUAL BUDGET VARIANCE ACTUAL BUDGET VARIANCE 1Q 2Q 3Q 4Q
----------------------- ---------------------- ----------------------- --------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
OIL PRODUCTION
Gulf of Mexico 360 -- 360 360 -- 360 1,083 -- 1,083 723 360 -- --
Alaska 325 -- 325 325 -- 325 998 -- 998 673 325 -- --
Onshore 170 -- 170 170 -- 170 538 -- 538 368 170 -- --
International -- -- -- -- -- -- -- -- -- -- -- -- --
------------------------- ----------------------- ----------------------- ----------------------------------
Total 855 -- 855 855 -- 855 2,619 -- 2,619 1,764 855 -- --
------------------------- ----------------------- ----------------------- ----------------------------------
PRODUCTS
Gulf of Mexico 14 -- 14 14 -- 14 40 -- 40 26 14 -- --
Alaska -- -- -- -- -- -- -- -- -- -- -- -- --
Onshore 19 -- 19 19 -- 19 55 -- 55 36 19 -- --
International -- -- -- -- -- -- -- -- -- -- -- -- --
------------------------- ----------------------- ----------------------- ----------------------------------
Total 33 -- 33 33 -- 33 95 -- 95 62 33 -- --
------------------------- ----------------------- ----------------------- ----------------------------------
TOTAL LIQUIDS
Gulf of Mexico 374 -- 374 374 -- 374 1,123 -- 1,123 749 374 -- --
Alaska 325 -- 325 325 -- 325 998 -- 998 673 325 -- --
Onshore 189 -- 189 189 -- 189 593 -- 593 404 189 -- --
International -- -- -- -- -- -- -- -- -- -- -- -- --
------------------------- ----------------------- ----------------------- ----------------------------------
Total 888 -- 888 888 -- 888 2,714 -- 2,714 1,826 888 -- --
------------------------- ----------------------- ----------------------- ----------------------------------
Natural Gas
Gulf of Mexico 7,015 -- 7,015 7,015 -- 7,015 21,492 -- 21,492 14,477 7,015 -- --
Alaska -- -- -- -- -- -- -- -- -- -- -- -- --
Onshore 633 -- 633 633 -- 633 2,159 -- 2,159 1,526 633 -- --
International -- -- -- -- -- -- -- -- -- -- -- -- --
------------------------- ----------------------- ----------------------- ----------------------------------
Total 7,648 -- 7,648 7,648 -- 7,648 23,651 -- 23,651 16,003 7,648 -- --
------------------------- ----------------------- ----------------------- ----------------------------------
TOTAL BOE
Gulf of Mexico 1,543 -- 1,543 1,543 -- 1,543 4,705 -- 4,705 3,162 1,543 -- --
Alaska 325 -- 325 325 -- 325 998 -- 998 673 325 -- --
Onshore 295 -- 295 295 -- 295 953 -- 953 658 295 -- --
International -- -- -- -- -- -- -- -- -- -- -- -- --
------------------------- ----------------------- ----------------------- ----------------------------------
Total 2,163 -- 2,163 2,163 -- 2,163 6,656 -- 6,656 4,493 2,163 -- --
========================= ======================= ======================= ==================================
</TABLE>
8
<PAGE> 13
FORCENERGY INC
FIELD PRICE BY REGION
ACCRUAL BASIS
04/30/99
<TABLE>
<CAPTION>
CURRENT MONTH QUARTER TO DATE YEAR TO DATE QUARTERLY
---------------------- ---------------------- ---------------------- -----------------------------
ACTUAL BUDGET VARIANCE ACTUAL BUDGET VARIANCE ACTUAL BUDGET VARIANCE 1Q 2Q 3Q 4Q
---------------------- ---------------------- ---------------------- -----------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
OIL PRICES ($/BBL)
Gulf of Mexico $14.22 $14.22 $12.73 $11.98 $14.22
Alaska 12.48 12.46 9.65 8.29 12.46
Onshore 13.62 13.62 11.96 11.19 13.62
International -- -- -- -- --
---------------------- ---------------------- ---------------------- -----------------------------
Total $13.45 $13.43 $11.40 $10.41 $13.43
---------------------- ---------------------- ---------------------- -----------------------------
PRODUCT PRICES ($/BBL)
Gulf of Mexico $ 9.71 $ 9.71 $ 9.05 $ 8.69 $ 9.71
Alaska -- -- -- -- --
Onshore 7.47 7.47 6.53 6.03 7.47
International -- -- -- -- --
---------------------- ---------------------- ---------------------- -----------------------------
Total 8.42 8.42 $ 7.59 $ 7.15 $ 8.42
---------------------- ---------------------- ---------------------- -----------------------------
TOTAL LIQUIDS ($/BBL)
Gulf of Mexico $14.05 $14.05 $12.60 $11.87 $14.05
Alaska 12.46 12.46 9.65 8.29 12.46
Onshore 13.00 13.00 11.45 10.73 13.00
International -- -- -- -- --
---------------------- ---------------------- ---------------------- -----------------------------
Total $13.27 $13.25 $11.26 $10.30 $13.25
---------------------- ---------------------- ---------------------- -----------------------------
NATURAL GAS PRICES ($/MCF)
Gulf of Mexico $ 1.75 $ 1.75 $ 1.74 $ 1.73 $ 1.75
Alaska -- -- -- -- --
Onshore 1.88 1.88 1.63 1.52 1.88
International -- -- -- -- --
---------------------- ---------------------- ---------------------- -----------------------------
Total $ 1.76 $ 1.76 $ 1.73 $ 1.71 $ 1.76
---------------------- ---------------------- ---------------------- -----------------------------
TOTAL EQUIVALENTS ($/BOE)
Gulf of Mexico $11.37 $11.37 $10.95 $10.74 $11.37
Alaska 12.46 12.46 9.65 8.29 12.46
Onshore 12.38 12.38 10.82 10.12 12.38
International -- -- -- -- --
---------------------- ---------------------- ---------------------- -----------------------------
Total $11.70 $11.67 $10.73 $10.28 $11.67
====================== ====================== ====================== =============================
AVERAGE NYMEX
Oil $16.95 $ -- $16.95 $16.95 $ -- $16.95 $13.86 $ -- $13.86 $12.82 $16.95 $ -- $ --
Gas $ 1.85 $ -- $ 1.85 $ 1.85 $ -- $ 1.85 $ 1.78 $ -- $ 1.78 $ 1.75 $ 1.85 $ -- $ --
</TABLE>
9
<PAGE> 14
FORCENERGY INC
LOE BY REGION
ACCRUAL BASIS
(IN THOUSANDS)
04/30/99
<TABLE>
<CAPTION>
CURRENT MONTH QUARTER TO DATE YEAR TO DATE QUARTERLY
----------------------- ------------------------ ------------------------- --------------------------------
ACTUAL BUDGET VARIANCE ACTUAL BUDGET VARIANCE ACTUAL BUDGET VARIANCE 1Q 2Q 3Q 4Q
----------------------- ------------------------ ------------------------- --------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
LOE
Gulf of Mexico $5,292 $ -- $5,292 $5,292 $ -- $5,292 $16,361 $ -- $16,361 $11,069 $5,292 $ -- $ --
Alaska 2,006 -- 2,006 2,006 -- 2,006 6,203 -- 6,203 4,197 2,006 -- --
Onshore 2,203 -- 2,203 2,203 -- 2,203 6,810 -- 6,810 4,607 2,203 -- --
---------------------- ----------------------- ------------------------- --------------------------------
Total $9,501 $ -- $9,501 $9,501 $ -- $9,501 $29,374 $ -- $29,374 $19,873 $9,501 $ -- $ --
---------------------- ----------------------- ------------------------- --------------------------------
EXP W/O & MAJ R&M
Gulf of Mexico $ 410 $ -- $ 410 $ 410 $ -- $ 410 $ 2,979 $ -- $ 2,979 $ 2,570 $ 410 $ -- $ --
Alaska (9) -- (9) (9) -- (9) 796 -- 796 804 (9) -- --
Onshore 17 -- 17 17 -- 17 145 -- 145 128 17 -- --
---------------------- ----------------------- ------------------------- --------------------------------
Total $ 418 $ -- $ 418 $ 418 $ -- $ 418 $ 3,920 $ -- $ 3,920 $ 3,502 $ 418 $ -- $ --
---------------------- ----------------------- ------------------------- --------------------------------
TOTAL LOE
Gulf of Mexico $5,702 $ -- $5,702 $5,702 $ -- $5,702 $19,340 $ -- $19,340 $13,639 $5,702 $ -- $ --
Alaska 1,998 -- 1,998 1,998 -- 1,998 6,999 -- 6,999 5,001 1,998 -- --
Onshore 2,219 -- 2,219 2,219 -- 2,219 6,955 -- 6,955 4,736 2,219 -- --
---------------------- ----------------------- ------------------------- --------------------------------
Total $9,918 $ -- $9,918 $9,918 $ -- $9,918 $33,294 $ -- $33,294 $23,376 $9,918 $ -- $ --
====================== ======================= ========================= ================================
PER BOE:
LOE
Gulf of Mexico $ 3.43 -- $ 3.43 $ 3.43 $ -- $ 3.43 $ 3.48 $ -- $ 3.48 $ 3.50 $ 3.43 $ -- $ --
Alaska 6.17 -- 6.17 6.17 -- 6.17 6.22 -- 6.22 6.24 6.17 -- --
Onshore 7.48 -- 7.48 7.48 -- 7.48 7.15 -- 7.15 7.00 7.48 -- --
---------------------- ----------------------- ------------------------- --------------------------------
Total $ 4.39 -- $ 4.39 $ 4.39 $ -- $ 4.39 $ 4.41 $ -- $ 4.41 $ 4.42 $ 4.39 $ -- $ --
---------------------- ----------------------- ------------------------- --------------------------------
EXP W/O & MAJ R&M
Gulf of Mexico $ 0.27 $ -- $ 0.27 $ 0.27 $ -- $ 0.27 $ 0.63 $ -- $ 0.63 $ 0.81 $ 0.27 $ -- $ --
Alaska (0.03) -- (0.03) (0.03) -- (0.03) 0.80 -- 0.80 1.20 (0.03) -- --
Onshore 0.06 -- 0.06 0.06 -- 0.06 0.15 -- 0.15 0.19 0.06 -- --
---------------------- ----------------------- ------------------------- --------------------------------
Total $ 0.19 $ -- $ 0.19 $ 0.19 $ -- $ 0.19 $ 0.59 $ -- $ 0.59 $ 0.78 $ 0.19 $ -- $ --
---------------------- ----------------------- ------------------------- --------------------------------
TOTAL LOE
Gulf of Mexico $ 3.69 $ -- $ 3.69 $ 3.69 $ -- $ 3.69 $ 4.11 $ -- $ 4.11 $ 4.31 $ 3.69 $ -- $ --
Alaska 6.15 -- 6.15 6.15 -- 6.15 7.01 -- 7.01 7.43 6.15 -- --
Onshore 7.54 -- 7.54 7.54 -- 7.54 7.30 -- 7.30 7.19 7.54 -- --
---------------------- ----------------------- ------------------------- --------------------------------
Total $ 4.59 $ -- $ 4.59 $ 4.59 $ -- $ 4.59 $ 5.00 $ -- $ 5.00 $ 5.20 $ 4.59 $ -- $ --
====================== ======================= ========================= ================================
</TABLE>
10
<PAGE> 15
FORCENERGY INC
GENERAL & ADMINISTRATIVE EXPENSE SUMMARY
(IN THOUSANDS)
04/30/99
<TABLE>
<CAPTION>
TOTAL COMPANY
CURRENT MONTH YEAR TO DATE
------------------------------------ --------------------------------
ACTUAL BUDGET VARIANCE ACTUAL BUDGET VARIANCE
------------------------------------ --------------------------------
<S> <C> <C> <C> <C> <C> <C>
MAJOR CATEGORY
Regular Office Costs $ 1,507 -- $ 1,507 $ 6,373 -- $ 6,373
Legal Expenses 11 -- 11 347 -- 347
Consulting Fees 99 -- 99 435 -- 435
Professional Fees 1 -- 1 9 -- 9
Financing Fees/Expenses 23 -- 23 110 -- 110
Insurance 7 -- 7 154 -- 154
Franchise and Intangible Taxes 1 -- 1 90 -- 90
Other -- -- -- 31 -- 31
------------------------------- -------------------------------
Total Incurred 1,649 -- 1,649 7,549 -- 7,549
------------------------------- -------------------------------
COSTS ALLOCATED OUT
Engineering (544) -- (544) (2,614) -- (2,614)
COPAS O/H (68) -- (68) (365) -- (365)
------------------------------- -------------------------------
Total allocated out (612) -- (612) (2,979) -- (2,979)
------------------------------- -------------------------------
Net G&A expenses 1,037 -- 1,037 4,570 -- 4,570
------------------------------- -------------------------------
REORGANIZATION CHARGES:
Legal Expenses -- -- -- 198 -- 198
Accounting Fees (237) -- (237) 237 -- 237
Bank Fees -- -- -- -- -- --
Other 20 -- 20 22 -- 22
------------------------------- -------------------------------
Reorganization Charges (217) -- (217) 457 -- 457
------------------------------- -------------------------------
Total G&A/Reorganization charges $ 820 $ -- $ 820 $ 5,027 $ -- $ 5,027
=============================== ===============================
</TABLE>
11
<PAGE> 16
FORCENERGY INC
ACTUAL/BUDGET COMPARISON - CAPITAL EXPENDITURES SUMMARY
(IN THOUSANDS)
04/30/99
<TABLE>
<CAPTION>
CURRENT MONTH YEAR TO DATE
----------------------------- --------------------------
ACTUAL BUDGET VARIANCE ACTUAL BUDGET VARIANCE
----------------------------- --------------------------
<S> <C> <C> <C> <C> <C> <C>
CATEGORY:
DRILLING PROGRAM
Exploratory Drilling $ (1,907) $ -- $ (1,907) $ 1,276 $- $ 1,276
Exploitation Drilling 5 -- 5 9 -- 9
Developmental Drilling 1 -- 1 742 -- 742
Recompletions 662 -- 662 2,890 -- 2,890
Capitalized Workovers (172) -- (172) 349 -- 349
Production Facilities 589 -- 589 3,265 -- 3,265
Lease Bonuses and Delay Rentals 222 -- 222 456 -- 456
Abandonment 79 -- 79 1,321 -- 1,321
Geological & Geophysical 7 -- 7 1,088 -- 1,088
Other Leasehold Costs 72 -- 72 265 -- 265
----------------------------- --------------------------
Subtotal - Drilling Program (441) -- (441) 11,661 -- 11,661
----------------------------- --------------------------
MISCELLANEOUS
Capitalized G&A 543 -- 543 2,617 -- 2,617
Capitalized Interest 489 -- 489 1,480 -- 1,480
Other - Office F/F 175 -- 175 213 -- 213
O&G Tangible Inventory 1 -- 1 (89) -- (89)
Other Unallocated -- -- -- --
----------------------------- --------------------------
Subtotal - Miscellaneous 1,209 -- 1,209 4,221 -- 4,221
----------------------------- --------------------------
ACQUISITIONS (NOT BUDGETED)
Proved Leasehold Cost 211 -- 211 190 -- 190
Lease & Well Equipment 70 -- 70 62 -- 62
Unproved Lease Cost -- -- -- -- -- --
Other (1) -- -- -- -- -- --
----------------------------- --------------------------
Sub-Total 282 -- 282 252 -- 252
----------------------------- --------------------------
----------------------------- --------------------------
Total Capital $ 1,049 $ -- $ 1,049 $ 16,134 $-- $ 16,134
============================= ==========================
WELLS COMPLETED:
Gross
Exploratory -- -- -- 1.0 -- 1.0
Developmental -- -- -- 2.0 -- 2.0
Non-Productive -- -- -- 2.0 -- 2.0
----------------------------- --------------------------
-- -- -- 5.0 -- 5.0
============================= ==========================
Net
Exploratory -- -- -- 0.3 -- 0.3
Developmental -- -- -- 0.2 -- 0.2
Non-Productive -- -- -- 0.6 -- 0.6
----------------------------- --------------------------
-- -- -- 1.1 -- 1.1
============================= ==========================
</TABLE>
12
<PAGE> 17
FORCENERGY INC
TRENDED STATEMENT OF INCOME
(IN THOUSANDS, EXCEPT PER BOE AMOUNTS)
4/30/99
<TABLE>
<CAPTION>
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total
---------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
REVENUE
Oil and Gas Sales $18,929 $15,114 $12,158 $ 25,245 $ 71,446
Hedging gain/(loss) 3,143 2,292 2,312 -- 7,747
---------------------------------------------------------------------------------------------------
Total Oil and Gas Sales 22,072 17,406 14,470 25,245 -- -- -- -- -- -- -- -- 79,193
Other 138 68 52 20 278
---------------------------------------------------------------------------------------------------
Total Revenue 22,210 17,474 14,522 25,265 -- -- -- -- -- -- -- -- 79,471
---------------------------------------------------------------------------------------------------
EXPENSES
Lease Operating Expenses 8,798 8,452 6,126 9,918 33,294
Production Taxes 256 270 319 445 1,290
Depl, Deprec & Amortiz 12,236 10,451 6,297 13,958 42,942
General & Administrative 1,160 1,333 1,040 1,037 4,570
Reorganization Charges -- -- 674 (217) 457
---------------------------------------------------------------------------------------------------
Total Expenses 22,450 20,506 14,456 25,141 -- -- -- -- -- -- -- -- 82,553
---------------------------------------------------------------------------------------------------
Income from Operations (240) (3,032) 66 124 -- -- -- -- -- -- -- -- (3,082)
Interest and Other Income 59 146 (102) 6,564 6,667
Interest Expense, net of cap (4,391) (4,270) (3,174) (5,926) (17,761)
Income Tax (Provision) Benefit -- -- -- -- --
---------------------------------------------------------------------------------------------------
Net Income $(4,572) $(7,156) $(3,210) $ 762 $ -- $ -- $ -- $ -- $ -- $ -- $ -- $ -- $(14,176)
===================================================================================================
EBITDA $12,055 $ 7,565 $ 6,261 $ 20,646 $ -- $ -- $ -- $ -- $ -- $ -- $ -- $ -- $ 46,527
===================================================================================================
EBITDA as % of O&G Sales 55% 43% 43% 82% 0% 0% 0% 0% 0% 0% 0% 0% 59%
===================================================================================================
DISCRETIONARY CASH FLOW $ 7,387 $ 2,785 $ 2,609 $ 14,297 $ -- $ -- $ -- $ -- $ -- $ -- $ -- $ -- $ 26,602
===================================================================================================
</TABLE>
<TABLE>
<CAPTION>
YTD
Per BOE: Average
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
REVENUE
Oil and Gas Sales $10.59 $910.31 $11.67 $ -- $ -- $ -- $ -- $ -- $ -- $ -- $ -- $ -- $ 10.73
Hedging gain/(loss) 1.76 1.50 1.96 -- -- -- -- -- -- -- -- -- 1.16
-----------------------------------------------------------------------------------------------
Total Oil and Gas Sales 12.35 11.40 12.27 11.67 -- -- -- -- -- -- -- -- 11.90
Other 0.08 0.04 0.04 0.01 -- -- -- -- -- -- -- -- 0.04
-----------------------------------------------------------------------------------------------
Total Revenue 12.42 11.44 12.32 11.68 -- -- -- -- -- -- -- -- 11.94
EXPENSES
Lease Operating Expenses 4.92 5.53 5.20 4.58 -- -- -- -- -- -- -- -- 5.00
Production Taxes 0.14 0.18 0.27 0.21 -- -- -- -- -- -- -- -- 0.19
Dep. Deprec & Amortiz 6.84 6.84 5.34 6.45 -- -- -- -- -- -- -- -- 6.45
General & Administrative 0.65 0.87 0.88 0.48 -- -- -- -- -- -- -- -- 0.69
Reorganization Charges -- -- 0.57 (0.10) -- -- -- -- -- -- -- -- 0.07
-----------------------------------------------------------------------------------------------
Total Expenses 12.56 13.43 11.69 11.72 -- -- -- -- -- -- -- -- 12.33
-----------------------------------------------------------------------------------------------
INCOME FROM OPERATIONS (0.14) (1.99) 0.63 (0.04) -- -- -- -- -- -- -- -- (0.39)
Interest and Other Income 0.03 0.10 (0.09) 3.03 -- -- -- -- -- -- -- -- 1.00
Interest Expense, net of cap (2.46) (2.80) (2.69) (2.74) -- -- -- -- -- -- -- -- (2.67)
Income Tax Provision -- -- -- -- -- -- -- -- -- -- -- -- --
-----------------------------------------------------------------------------------------------
Net Income $(2.56) $ (4.69) $(2.15) $ 0.25 $ -- $ -- $ -- $ -- $ -- $ -- $ -- $ -- $ (2.06)
===============================================================================================
EBITDA $ 6.74 $ 4.95 $ 5.31 $ 9.54 $ -- $-- $ -- $ -- $ -- $ -- $ -- $ -- $ 6.99
===============================================================================================
</TABLE>
13
<PAGE> 18
FORCENERGY INC
TRENDED BALANCE SHEET
(IN THOUSANDS, EXCEPT RATIOS)
4/30/99
<TABLE>
<CAPTION>
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
---------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
ASSETS
Cash - non-debtor $ 17,233 $ 6,118 $ 1,775 $ 2,025 $ -- $ -- $ -- $ -- $ -- $ -- $ -- $ --
Cash - debtor -- -- 4,809 34,552
Accounts Receivable 29,855 29,897 33,970 33,234
Prepaid Expenses 3,489 3,197 2,815 2,742
Other 16,511 15,890 15,016 14,516
----------------------------------------------------------------------------------------------------
Total Current Assets 67,088 55,102 58,385 87,069 -- -- -- -- -- -- -- --
----------------------------------------------------------------------------------------------------
Prop and Equip, at Cost
Oil and Gas Properties 1,482,179 1,489,731 1,494,757 1,495,642
Office Equipment 9,839 9,841 9,847 10,022
----------------------------------------------------------------------------------------------------
1,492,018 1,499,572 1,504,604 1,505,664 -- -- -- -- -- -- -- --
----------------------------------------------------------------------------------------------------
Accum Depl, Deprec & Amort (890,806) (901,257) (907,554) (921,512)
----------------------------------------------------------------------------------------------------
Net Property & Equipment 601,212 598,315 597,050 584,152 -- -- -- -- -- -- -- --
----------------------------------------------------------------------------------------------------
Other Assets 12,178 12,756 12,425 12,658
----------------------------------------------------------------------------------------------------
Total Assets $ 680,478 $ 666,173 $ 667,860 $ 683,879 $ -- $ -- $ -- $ -- $ -- $ -- $ -- $ --
====================================================================================================
Liab & Stkhlder's Equity
Accrued Interest $ -- $ -- $ -- $ 6,271
Accounts Payable -- -- -- 3,386
Revenue and Royalties Payable -- -- -- 2,700
Accrued Drilling Costs -- -- -- 774
Other Accrued Expenses -- -- -- 8,834
----------------------------------------------------------------------------------------------------
Total Post-petition liabilites -- -- -- 21,965 -- -- -- -- -- -- -- --
----------------------------------------------------------------------------------------------------
Accounts Payable 54,912 51,769 53,405 63,061
Revenue and Royalties Payable 4,264 4,937 6,002 2,967
Accrued Interest 13,300 7,475 9,019 9,019
Accrued Drilling Costs 19,456 13,485 11,198 5,314
Other Accrued Expenses 19,358 15,575 13,641 6,196
Current Maturities of
Long-Term Debt 23,700 31,400 689,473 689,473
----------------------------------------------------------------------------------------------------
Total Pre-petition liabilites 134,990 124,641 782,738 776,030 -- -- -- -- -- -- -- --
----------------------------------------------------------------------------------------------------
Total Current Liabilities 134,990 124,641 782,738 797,995 -- -- -- -- -- -- -- --
----------------------------------------------------------------------------------------------------
Long-Term Debt 650,000 653,200 -- -- -- -- -- -- -- -- -- --
----------------------------------------------------------------------------------------------------
Deferred Taxes -- -- -- -- -- -- -- -- -- -- -- --
----------------------------------------------------------------------------------------------------
Stockholder's Equity
Common Stock 248 248 248 248
Capital in excess of
par value 346,446 346,446 346,446 346,446
Retained Deficit -
Post-petition -- -- -- 762
Retained Deficit -
Pre-petition (451,206) (458,362) (461,572) (461,572)
----------------------------------------------------------------------------------------------------
Total Stockholders Equity (104,512) (111,668) (114,878) (114,116) -- -- -- -- -- -- -- --
----------------------------------------------------------------------------------------------------
Total Liab and Stkhlder's
Equity $ 680,478 $ 666,173 $ 667,860 $ 683,879 $ -- $ -- $ -- $ -- $ -- $ -- $ -- $ --
====================================================================================================
Outstanding Common Shares 24,748 24,748 24,748 24,755
</TABLE>
14
<PAGE> 19
FORCENERGY INC
TRENDED STATEMENT OF CASH FLOWS
(IN THOUSANDS)
4/30/99
<TABLE>
<CAPTION>
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total
-----------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
OPERATING ACTIVITIES:
Net Income $ (4,572)$ (7,156)$(3,210)$ 762 $(14,176)
Equity in Net
Income of
Subsidiary (43) (114) (61) (352) (570)
Dep, Deprec &
Amortiz 12,236 10,451 6,297 13,958 42,942
Amort. of Debt
Issuance Costs 93 94 146 120 453
Deferred Interest -- -- -- -- --
Deferred Taxes -- -- -- -- --
Other -- -- -- -- --
-----------------------------------------------------------------------------------------------------------
Net cash provided by
operating activities 7,714 3,275 3,172 14,488 -- -- -- -- -- -- -- -- 28,649
before changes in
working capital
Changes in Assets and
Liabilities:
Accounts Receivable (1,422) (42) (4,073) 736 (4,801)
Prepaid Expenses 146 292 382 73 893
Other Current Assets (478) 621 874 500 1,517
POST- PETITION:
Accounts Payable -
Post petition -- -- -- 3,386 3,386
Revenue and Royalties
Payable - Post-
petition -- -- -- 2,700 2,700
Accrued Interest -
Post-petition -- -- -- 6,271 6,271
Accrued Drilling Costs -
Post-petition -- -- -- 774 774
Other Accrued Expenses -
Post-petition -- -- -- 8,834 8,834
PRE-PETITION:
Accounts Payable -
Pre-petion 12,729 (3,143) 1,636 9,656 20,878
Revenue and Royalties
Payable - Pre-petition (324) 673 1,065 (3,035) (1,621)
Accrued Interest -
Pre-petition 2,501 (5,825) 1,545 (1) (1,780)
Accrued Drilling Costs-
Pre-petition (6,269) (5,971) (2,287) (5,884) (20,411)
Other Accrued Expenses -
Pre-petition (4,366) (3,783) (1,934) (7,445) (17,528)
Deferred Taxes -- -- -- -- --
---------------------------------------------------------------------------------------------------------
Total cash from
operations 10,231 (13,903) 380 31,053 -- -- -- -- -- -- -- -- 27,761
---------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES:
Acquisitions of oil &
gas properties (3) (232) 265 (282) (252)
Capital expenditures (2,497) (7,322) (5,295) (768) (15,882)
Sales of oil & gas
properties -- -- (2) (10) (12)
Decrease in Other Assets 5,501 (557) 244 -- 5,188
Dividends received from
Subsidiary -- -- -- -- --
---------------------------------------------------------------------------------------------------------
Total cash from
investing activities 3,001 (8,111) (4,788) (1,060) -- -- -- -- -- -- -- -- (10,958)
---------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES:
Borrowings under senior
creditfacility 3,000 14,400 9,073 -- 26,473
Repayments under senior
credit facility (1,000) (3,500) (4,200) -- (8,700)
Proceeds from sale of
common stock 311 -- -- -- 311
---------------------------------------------------------------------------------------------------------
Total cash from
financing activities 2,311 10,900 4,873 -- -- -- -- -- -- -- -- -- 18,084
---------------------------------------------------------------------------------------------------------
NET INCR (DECR) IN CASH 15,543 (11,114) 465 29,993 -- -- -- -- -- -- -- -- 34,887
CASH AT BEGINNING OF
PERIOD 1,690 17,233 6,119 6,584 36,577 36,577 36,577 36,577 36,577 36,577 36,577 36,577 1,690
---------------------------------------------------------------------------------------------------------
CASH AT END OF PERIOD $17,233 $ 6,119 $ 6,584 $36,577 $36,577 $36,577 $36,577 $36,577 $36,577 $36,577 $36,577 $36,577 $ 36,577
=========================================================================================================
</TABLE>
15
<PAGE> 20
FORCENERGY INC
ACCOUNTS RECEIVABLE ANALYSIS
(IN THOUSANDS, EXCEPT RATIOS)
04/30/99
<TABLE>
<CAPTION>
JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC
--------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Monthly sales $ 18,929 $ 15,114 $ 12,158 $ 25,245
Accrued Revenue 22,671 21,595 25,606 24,702
Number of Days 37 44 65 30
JIB Receivable
- -------------------
Current (1,309) 3,802 2,942 2,676
1 - 30 2,327 1,202 1,733 927
31 - 60 3,764 1,172 967 1,516
61 - 90 579 556 852 969
> 90 2,913 3,567 3,568 4,144
-------------------------------------------------------------------------------------------------------------
Total $ 8,273 $ 10,298 $ 10,062 $ 10,232 $ -- $ -- $ -- $ -- $ -- $ -- $ -- $ --
-------------------------------------------------------------------------------------------------------------
% > 60 42.21% 40.03% 43.93% 49.97%
% > 90 35.21% 34.63% 35.46% 40.50%
Summary
- -------------------
Accrued Revenue 22,671 21,595 25,606 24,702
JIB Receivable 8,273 10,298 10,062 10,232
Other Receivables 911 4 302 300
Allowance for D/A (2,000) (2,000) (2,000) (2,000)
-------------------------------------------------------------------------------------------------------------
Total A/R $ 29,855 $ 29,897 $ 33,970 $ 33,234 $ -- $ -- $ -- $ -- $ -- $ -- $ -- $ --
-------------------------------------------------------------------------------------------------------------
</TABLE>
16
<PAGE> 21
FORCENERGY INC
POST-PETITION ACCOUNTS PAYABLE AGING
(IN THOUSANDS, EXCEPT RATIOS)
04/30/99
<TABLE>
<CAPTION>
MAY(1)
-----------
<S> <C>
0 - 30 $1,738
31 - 60 129
> 60 --
-----------
Total $ 1,867
-----------
Adjustments:
Add:
Checks Disbursed 5/1/99 - 5/7/99 507
Reclass of outstanding checks to Accounts Payable 2,664
(Checks cut and mailed, not yet cleared bank)
Subtract:
Invoices entered into Accounts Payable 5/1/99 - 5/7/99 (1,652)
-------
Post-petition Accounts Payable at April 30, 1999 $3,386
=======
</TABLE>
- ------------------
(1) Represents aging balances as of May 7, 1999
17
<PAGE> 22
<TABLE>
<CAPTION>
<S> <C> <C>
CASE NAME: FORCENERGY INC NO. 99-11391 "A"
jointly administered with
FORCENERGY RESOURCES INC NO. 99-11392 "A"
CASH RECEIPTS AND DISBURSEMENTS SUMMARY STATEMENT
FOR PERIOD 3/22/99 TO 4/30/99
CASH RECONCILIATION
BEGINNING CASH BALANCE PER MONTHLY FINANCIAL PACKAGE $4,809,540.62
SUBTRACT: Reclassification of Outstanding Checks and Other ($1,948,161.00)
1. BEGINNING CASH BALANCE $2,861,379.62
--------------
2. CASH RECEIPTS $35,751,988.20
(Total Cash Receipts from line 2 on all Form 2-D's) --------------
3. CASH DISBURSEMENTS ($11,022,910.92)
---------------
(Total Cash Disbursements from line 3 on all Form 2-D's)
4. NET CASH FLOW $24,729,077.28
--------------
5. TOTAL ADJUSTMENTS $4,298,362.56
-------------
5a. Reclassification of Outstanding Checks and Other $2,664,000.00
------------- --------------
6. ENDING CASH BALANCE $34,552,819.46
==============
CASH SUMMARY - ENDING BALANCE
Amount* Financial Institution
------- ---------------------
PAYROLL ACCOUNT ($2,663,604.55) NORTHERN TRUST
OPERATING ACCOUNT $1,552,697.66 FIRST UNION
OTHER $56,552.77 GOLDMAN SACHS
PETTY CASH $881.03 N/A
PETTY CASH $876.04 N/A
PETTY CASH $1,000.00 N/A
OPERATING ACCOUNT $587,086.22 NORTHERN TRUST
OPERATING ACCOUNT $23,397.50 NORTHERN TRUST
OPERATING ACCOUNT ($3,626.06) N/A
OPERATING ACCOUNT $30,204,500.58 NORTHERN TRUST
OPERATING ACCOUNT ($28,132.61) JEFFERSON GUARANTY BANK
OPERATING ACCOUNT $14,997.43 BANK OF AMERICA
OPERATING ACCOUNT ($818,646.22) NORTHERN TRUST
OPERATING ACCOUNT $701,196.20 NORTHERN TRUST
OTHER $2,219,251.18 NORTHERN TRUST ROYALTY ESCROW
OPERATING ACCOUNT ($12,785.49) DEPOSIT GUARANTY NATL BANK
OPERATING ACCOUNT $53,177.78 BANK OF AMERICA
5a. Outstanding Check reclassification to Accounts Payable $2,664,000.00
- --------------------------------------------------------------------------------
TOTAL (must agree with line 6 above) $34,552,819.46
==============
* These amounts should be equal to the previous month's balance for the account
plus this month's receipts less this month's disbursements.
===============================================================================
ADJUSTED CASH DISBURSEMENTS
--------------
Cash disbursements on Line 3 above less inter-account $11,022,910.92
transfers and UST fees paid ==============
NOTE: This amount should be used to determine
UST quarterly fees due.
</TABLE>
<PAGE> 23
CASE NAME: CASE NUMBER:
FORCENERGY INC NO: 99-11391 "A"
- -------------------------------------------------------------------------------
jointly administered with
FORCENERGY RESOURCES INC NO: 99-11391 "B"
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SUPPORTING SCHEDULES
For period 3/22/99 to 4/30/99
INSURANCE SCHEDULE
DATE OF PREMIUM
TYPE CARRIER / AGENT COVERAGE ($) EXPIRATION PAID
- ---- --------------- ------------ ---------- -------
<S> <C> <C> <C> <C>
Workers' Compensation
--------------------------- ------------------------- ------------ ---------------
General Liability
--------------------------- ------------------------- ------------ ---------------
Property (Fire, Theft)
--------------------------- ------------------------- ------------ ---------------
Vehicle
--------------------------- ------------------------- ------------ ---------------
Other (list):
- --------------------- --------------------------- ------------------------- ------------ ---------------
- --------------------- --------------------------- ------------------------- ------------ ---------------
- --------------------- --------------------------- ------------------------- ------------ ---------------
NONE PAID THIS MONTH
- --------------------- --------------------------- ------------------------- ------------ ---------------
- --------------------- --------------------------- ------------------------- ------------ ---------------
- --------------------- --------------------------- ------------------------- ------------ ---------------
- --------------------- --------------------------- ------------------------- ------------ ---------------
- --------------------- --------------------------- ------------------------- ------------ ---------------
- --------------------- --------------------------- ------------------------- ------------ ---------------
- --------------------- --------------------------- ------------------------- ------------ ---------------
- --------------------- --------------------------- ------------------------- ------------ ---------------
- --------------------- --------------------------- ------------------------- ------------ ---------------
</TABLE>
- ---------------------
(1) Attach copy of certificate of insurance or declaration page of policy for
any coverage renewed or replaced during the current reporting month.
(2) For the premium paid column enter "yes" if payment of premium is current or
"no" if premium payment is delinquent. If no, explain on Form 2-F,
Narrative.
<PAGE> 24
CASE-NAME: Forcenergy Inc Jointly CASE NUMBER: 99-11391-A
Administered with Forcenergy 99-11329-A
Resources Inc
TYPE OF BUSINESS:
Oil & Gas Exploration and Production
NARRATIVE
For Period Ending March 22 to May 28, 1999
Please provide a brief description of the significant business and legal action
by the debtor, its creditors or the court during the reporting period. Comments
should include any change in bank accounts, explanation of extraordinary
expenses, and purpose of any new post-petition financing. Comments should also
include debtor's efforts during the month to rehabilitate the business and to
develop a plan.
The Company filed voluntarily for protection from its creditors under Chapter
11 of the Bankruptcy Code, on March 21, 1999. Forcenergy did not have a
prearranged, or prepackaged plan; therefore, during this initial reporting
period the Company spent a lot of time preparing various motions to the
court, the most significant of which have been directed to cash collateral
usage. Several preliminary cash collateral orders have been issued up to May 14,
1999, on which date the cash collateral order was issued. Negotiations with
potential providers of debtor-in-possession financing are ongoing. Since the
date of filing, Forcenergy has accumulated approximately $42 million in cash to
use to pay for the post-petition costs of maintaining its producing properties.
The Company is working on a plan of reorganization and has initiated
discussions with the secured creditors and the unsecured creditors committee.
Additionally, on May 21, 1999 a Section 341 Debtor Conference was held.
The Company has taken several actions to date, with respect to bank accounts,
as follows:
Accounts closed or in the process of closing: Number
- --------------------------------------------- ------
Northern Trust/Forcenergy Inc (Checking) 1610002042
First Union/Forcenergy Inc (Lockbox) 2090002373332*
First Union/Forcenergy GOM Inc. (Checking) 2079940003154
Deposit Guarantee National Bank/Forcenergy Inc (Petty Cash) 900-2764303
Bank of America/Forcenergy Inc (Petty Cash) 61517134
BankOne/Forcenergy Onshore Inc. (non-debtor) 1820476800
* This account had two lockboxes - one for Forcenergy Onshore Inc.
(non-debtor) and one for Forcenergy GOM Inc. The Forcenergy GOM Inc.
lockbox was no longer necessary and therefore closed. The other lockbox
remains open and is non-debtor.
Accounts opened: Number
- ---------------- ------
Northern Trust/Forcenergy Inc (Operating) 1610004704
Northern Trust/Forcenergy Inc (Royalty) 1610004715
Northern Trust/Forcenergy Inc (Unencumbered Escrow) 1617010824
Northern Trust/Forcenergy Inc (1996 Mortgage Escrow) 1617010835
Northern Trust/Forcenergy Inc (1999 Mortgage Escrow) 1617010846
Northern Trust/Forcenergy Inc (Petition Date Collateral) 1617011022
Deposit Guarantee National Bank/Forcenergy Inc (Petty Cash) 5200380059
Bank of America/Forcenergy Inc (Petty Cash) 40465403
Northern Trust/ Forcenergy Inc (MMS Royalty Escrow) 1617003443
Northern Trust/Forcenergy Onshore Inc. (non-debtor) 1610004693
<PAGE> 25
OPERATIONS
Forcenergy's production for this initial reporting period averaged 21,700
barrels of oil per day and 186.5 MMcf per day of natural gas. Lease operating
costs and general and administrative costs were relatively comparable to prior
periods. The Company reported a slight profit for this period, compared with
losses in prior months, primarily because of the receipt of $5.8 million in
settlement proceeds from the liquidation of the Company's hedging contracts by
the counterparty subsequent to the Chapter 11 filing.
Though the Company currently has a sizable amount of cash on hand, its ability
to utilize that cash is subject to provisions of the Order Authorizing the Use
of Cash Collateral dated May 14, 1999. The capital expenditure budget is
subject to approval by the secured lenders.
<PAGE> 26
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 hereunto duly authorized.
FORCENERGY INC
Date: June 14, 1999
By: /s/ E. Joseph Grady
---------------------------------
E. Joseph Grady
Vice President, Treasurer and
Chief Financial Officer
