|Cabot Oil & Gas Announces Office Closing and Executive Resignations|
HOUSTON, May 15 /PRNewswire/ -- Cabot Oil & Gas Corporation (NYSE: COG) announced today that due to the strategic repositioning of the Company it will close the Pittsburgh regional offices effective August 31. Approximately 15 jobs will be eliminated as a result of this action, while the remaining positions will be transferred to existing offices in Charleston, West Virginia, and Houston, Texas.
Ray Seegmiller, Chairman and CEO stated, "Since 1997 Cabot Oil & Gas has sold over 200 Bcfe of reserves in Pennsylvania and northern West Virginia. The Appalachian drilling effort will now be centered around our large acreage position in southern West Virginia and to a lesser extent in southwestern Pennsylvania. We are not exiting Appalachia. We are simply reducing operating expenses." Seegmiller added, "In this competitive marketplace we continue to look for ways to improve our margins. We anticipate over $1 million in annual savings from this consolidation. However, Cabot will realize a one-time charge totaling about $1 million for severance and relocation costs split between the second and third quarters of 2000."
This action resulted in the resignations of two officers, James M. Trimble, Senior Vice President and John B. Lawman, Vice President and Regional Manager. Both individuals have been long-term Cabot employees. Seegmiller concluded, "We appreciate Jim and John's service and contributions during the years and wish both of them the best in their future endeavors."
Cabot Oil & Gas Corporation, headquartered in Houston, Texas, is a leading domestic independent natural gas producer and marketer with substantial interests in the Appalachian, Mid-Continent, Rocky Mountain and Gulf Coast basins. For additional information, visit the Company's internet homepage at www.cabotog.com.
The statements regarding future financial performance and results and the
other statements which are not historical facts contained in this release are
forward-looking statements that involve risks and uncertainties, including,
but not limited to, market factors, the market price of natural gas and oil,
results of future drilling and marketing activity, future production and costs
and other factors detailed in the Company's Securities and Exchange Commission