Key Energy Provides Selected Financial Data and Provides Financial Reporting Update
September 04 2007 - 9:00AM
PR Newswire (US)
HOUSTON, Sept. 4 /PRNewswire-FirstCall/ -- Key Energy Services,
Inc. (Pink Sheets: KEGS) announced today its selected financial
data for the month of July 2007. In addition, the Company provided
an update on its financial reporting status. Financial Reporting
Update The Company is required under its Senior Credit Facility to
file its Quarterly Reports on Form 10-Q for the March 2007 and June
2007 quarters by October 31, 2007. The Company presently believes
that both Quarterly Reports will be filed on or before October 31,
2007. Once the March 2007 and June 2007 Quarterly Reports have been
filed, the Company will be current with its financial reporting and
can be relisted on a national stock exchange. The Company is
presently in discussions with both the New York Stock Exchange and
the NASDAQ. Selected Financial Data As previously reported, the
Company's July activity levels reflected lower utilization levels
associated with the July 4th holiday, new industry capacity and
minor disruptions from a labor strike in our Argentina operation.
The Company's July rig and trucking hours were previously released
on August 13, 2007 in conjunction with our activity update
conference call. The following selected financial information for
the Company is as of and for the month ended July 31, 2007. This
unaudited information has been prepared by management in accordance
with generally accepted accounting principles. The selected
financial data has not been reviewed or audited by the Company's
independent accountants. The table does not contain all the
financial statement line captions and notes that would be presented
in the Company's Quarterly Report on Form 10-Q for the three and
nine-months ended September 30, 2007. Month Ended July 31, 2007
Select Statement of Financial Data: (In thousands - Unaudited)
Revenue: Well servicing $104,111 Pressure pumping 24,367 Fishing
and rental services 8,866 TOTAL REVENUE $137,344 July 31, 2007
Select Balance Sheet Data: (In thousands - Unaudited) Current
Assets: Cash and cash equivalents $ 65,390 Short term investments
110,562 The information herein represents the results for only one
month and the information herein is not necessarily indicative of
the results that may be reported for the quarter ended September
30, 2007 or for the fiscal year ended December 31, 2007. The
information herein is select financial data and does not represent
a complete set of financial statements, which would include
additional financial data and notes to financial statements. Key
Energy Services, Inc. is the world's largest rig-based well service
company. The Company provides oilfield services including well
servicing, pressure pumping, fishing and rental tools, electric
wireline and other oilfield services. The Company has operations in
all major onshore oil and gas producing regions of the continental
United States and internationally in Argentina. Certain statements
contained in this news release constitute "forward- looking
statements" within the meaning of the Private Securities Litigation
Reform Act of 1995. These forward-looking statements are based on
current expectations, estimates and projections about the Company,
the Company's industry, management's beliefs and certain
assumptions made by management. Whenever possible, the Company has
identified these "forward-looking statements" by words such as
"expects," "believes," "anticipates" and similar phrases. Readers
are cautioned that any such forward-looking statements are not
guarantees of future performance and are subject to certain risks,
uncertainties and assumptions that are difficult to predict,
including, but not limited to: risks that the Company will be
unable to complete its new capital investment plan, including that
it will be unable to complete acquisitions and integrate acquired
operations and that it will be unable to obtain debt financing on
acceptable terms and conditions in order to enable it to complete
acquisitions or repurchase stock; possible legal consequences of
failure to file compliant SEC filings for 2003, 2004 and 2005;
risks that the Company will be unable to satisfy the requirements
for re-listing on a national stock exchange or the timing thereof;
the effect of on-going financial reporting and restatement-related
expenses; possible additional tax liabilities as a result of the
restatement of financial results; risks that the Company's efforts
to remediate internal control and accounting deficiencies will not
be effective; potential financial or other effects of on-going
class action and derivative litigation; risks affecting the ability
of the Company to maintain or improve operations, including the
ability to maintain price increases, possible over supply of new
rigs coming into the market and weather risk; and risks that the
Company will be unable to achieve budgeted financial targets and
risks affecting activity levels for rig hours including the risk
that commodity prices decline or the risk that capital budgets from
the Company's customers decrease. Readers should also refer to the
section entitled "Risk Factors" in the 2006 Annual Report on Form
10-K for discussion of risks arising from the financial reporting
process and other risks to which the Company is subject. Because
such statements involve risks and uncertainties, the actual results
and performance of the Company may differ materially from the
results expressed or implied by such forward-looking statements.
Given these uncertainties, readers are cautioned not to place undue
reliance on such forward-looking statements. Unless otherwise
required by law, the Company also disclaims any obligation to
update its view of any such risks or uncertainties or to announce
publicly the result of any revisions to the forward-looking
statements made here; however, readers should review carefully
reports or documents the Company files periodically with the
Securities and Exchange Commission. Contact: John Daniel (713)
651-4300 DATASOURCE: Key Energy Services, Inc. CONTACT: John Daniel
of Key Energy Services, Inc., +1-713-651-4300 Web site:
http://www.keyenergy.com/
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