| (1) |
Net income for the year ended December 31, 1999 excludes,
and earnings per share for the year ended December 31, 1999
includes, the discount on the redemption of the Company's
Preferred Stock in the amount of $21.9 million.
|
| (2) |
Management of the Company believes that
EBITDA, as defined, may provide additional information about
the Company's ability to meet its future requirements for debt
service, capital expenditures and working capital. EBITDA, as
defined, is a financial measure commonly used in the oil and
natural gas industry and should not be considered in isolation
or as a substitute for net income, operating income, cash flows
from operating activities or any other measure of financial
performance presented in accordance with generally accepted
accounting principles or as a measure of a company's profitability
or liquidity. Because EBITDA, as defined, excludes some, but
not all, items that affect net income, the EBITDA presented
above may not be comparable to similarly titled measures of
other companies. The following is a reconciliation of EBITDA,
as defined, to net income: |
(3)Debt repayments include amounts
refinanced.
Forward Looking Statements.
The statements contained in all parts of this document, (including
any portion attached hereto) including, but not limited to, those
relating to the Company's schedule, targets, estimates or results
of future drilling, including the number, timing and results of
wells, budgeted wells, increases in wells, the timing and risk involved
in drilling follow-up wells, expected working or net revenue interests,
planned expenditures, prospects budgeted and other future capital
expenditures, risk profile of oil and gas exploration, acquisition
of 3-D seismic data (including number, timing and size of projects),
planned evaluation of prospects, probability of prospects having
oil and natural gas, expected production or reserves, increases
in reserves, acreage, working capital requirements, hedging activities,
the ability of expected sources of liquidity to implement its business
strategy, future hiring, future exploration activity, production
rates, potential drilling locations targeting coal seams, the outcome
of a final Record of Decision by the Federal Bureau of Land Management
relating to new coalbed methane drilling permits in Montana and
related legal challenges, timing of new coalbed methane development
in Montana, all and any other statements regarding future operations,
financial results, business plans and cash needs and other statements
that are not historical facts are forward looking statements. When
used in this document, the words "anticipate", "budgeted", "targeted",
"potential", "estimate", "expect", "may", "project", "believe" and
similar expressions are intended to be among the statements that
identify forward looking statements. Such statements involve risks
and uncertainties, including, but not limited to, those relating
to the Company's dependence on its exploratory drilling activities,
the volatility of oil and natural gas prices, the need to replace
reserves depleted by production, operating risks of oil and natural
gas operations, the Company's dependence on its key personnel, factors
that affect the Company's ability to manage its growth and achieve
its business strategy, risks relating to its limited operating history,
technological changes, significant capital requirements of the Company,
the potential impact of government regulations, adverse regulatory
determinations, including those related to coalbed methane drilling
in Montana, litigation, competition, the uncertainty of reserve
information and future net revenue estimates, property acquisition
risks, industry partner issues, availability of equipment, weather
and other factors detailed herein and in the Company's other filings
with the Securities and Exchange Commission. Should one or more
of these risks or uncertainties materialize, or should underlying
assumptions prove incorrect, actual outcomes may vary materially
from those indicated.
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