Equitable Achieves Record First Quarter EPS, Announces 2 for 1 Stock Split and 8.5% Dividend Increase

Apr 20, 2001, 01:00 ET from Equitable Resources Inc.

    PITTSBURGH, April 20 /PRNewswire Interactive News Release/ -- Equitable
 Resources Inc. (NYSE:   EQT) today announced record first quarter 2001 earnings
 per diluted share, excluding earnings from Westport Resources, of $1.93 on
 record net income of $64.2 million.  This represents a 64% increase over the
 $1.18 per share on net income of $39.1 million reported for the same period a
 year ago.  Including Westport, Equitable reported total earnings per diluted
 share of $2.15 for the quarter ended March 31, 2001.
     The improvement in earnings is mainly attributable to higher commodity
 prices, increased throughput in the utility segment, lower interest expense
 and higher margins in the NORESCO segment.  The increase was partially offset
 by an increased provision for credit-related reserves in the Production and
 Utility Segments due to higher prices.
 
     Quarterly Results by Business
 
     Equitable Utilities
     Equitable Utilities had earnings before interest and taxes (EBIT) for the
 March 2001 quarter of $49.2 million, an increase of $2.0 million over the
 $47.2 million reported for the same period last year. The improved results for
 2001 are primarily attributable to higher distribution net revenues, due
 mainly to colder weather.  Heating degree-days were 2,818 in the March 2001
 quarter.  This is 9.6% colder than the 2,572 days recorded in 2000 but
 6.6% warmer than the 30-year normal of 3,016.
     Net operating revenues for the three months ended March 31, 2001 were
 $86.9 million compared to $85.2 million for the same quarter in 2000 (or
 $83.6 million excluding the $1.6 million benefit due to the Federal Energy
 Regulatory Commission rate case settlement in 2000).  Compared to the adjusted
 2000 quarterly results, 2001 net revenues increased by $3.3 million.   The
 increase was mainly due to increased distribution net revenues resulting from
 colder temperatures.  Residential and commercial volumes increased by 12% and
 10%, respectively, with the increases being weather-related; however,
 industrial volumes declined by 37%, essentially offsetting the  commercial
 throughput increases. The margin from this large industrial business is low,
 and consequently had no material impact on the quarter's results.
     Total expenses for the March 2001 quarter were $37.7 million compared to
 the $38.0 million reported during the same period last year.  After adjusting
 for $1.2 million in amortization of stranded cost recovery in the first
 quarter of 2000 and $1.9 million in increased credit-related reserves due to
 higher natural gas prices in the first quarter of 2001, total expenses at the
 Utility were down $1.0 million.
 
     Equitable Production
     Equitable Production had EBIT for the March 2001 quarter of $59.5 million
 compared to $31.5 million for the 2000 quarter.  The 2000 results included
 $6.4 million from the Gulf of Mexico activities which were merged into
 Westport effective April 1, 2000 and therefore, are no longer included in this
 segment.  The Appalachian operation's positive results were primarily due to
 higher commodity prices, increased operated volumes attributable to the
 acquisition of oil and gas properties from Statoil, and higher gathering and
 service volumes.
     Revenues for the first quarter 2001 increased 59% to $90.5 million
 compared to $57.0 million in 2000.  The revenue increase was due to total
 operated volumes that were 20% higher as a result of the Company's Statoil
 acquisition, as well as an effective gas price of $4.80 per mcfe vs. $2.44 for
 the same period last year.
     Operating expenses for the March 2001 quarter were $31.3 million compared
 to $32.0 million last year.  Excluding $1.9 million of increases in credit and
 other price-related reserves, operating expenses were down $2.6 million from
 the March 2000 quarter.  This performance was achieved despite inflationary
 pressures on the cost of services throughout the industry, resulting from
 strong commodity prices.
 
     NORESCO
     The NORESCO segment posted EBIT of $2.8 million compared to the
 $0.3 million posted in the first quarter last year.  The increase in EBIT is
 primarily attributable to increased revenues, higher gross margin, the absence
 of a one time charge in the first quarter 2000, and increased equity earnings.
 Total revenue increased by 13% to $34.5 million compared to $30.6 million in
 2000, due to increased construction activity resulting from the segment's
 backlog increase.
     NORESCO's first quarter 2001 gross margin increased to $8.2 million
 compared to $6.8 million during the first quarter 2000.  Gross margin as a
 percentage of revenue increased to 23.8% in the first quarter 2001 compared to
 22.2% during the same period in 2000.  This positive result was primarily
 attributable to a shift towards large projects with higher gross margins and
 improved cost controls.
     Total expenses were essentially flat year over year.  Total expenses for
 first quarter 2001 were $7.0 million compared to $7.9 million in the first
 quarter 2000.  The first quarter 2000 expenses included a charge of
 $1.0 million related to the exiting of international power development.
     This segment's backlog increased to $85.3 million compared to
 $70.1 million a year earlier.  This increase is primarily due to energy
 infrastructure project additions and reflects NORESCO's focus on this market
 segment.
 
     Other Business
 
     Westport
     Equitable Resources reported $7.1 million of equity earnings from its
 minority ownership in Westport Resources during the first quarter 2001.  These
 results reflect the March 2001 quarter for Westport.
 
     Dividend
     On April 19, 2001, the Board of Directors of Equitable Resources declared
 a regular quarterly cash dividend of 32 cents per share (pre-split), an
 8.5% increase, payable June 1, 2001 to shareholders of record on May 11, 2001.
 
     Stock Split
     On April 19, 2001, the Board of Directors of Equitable Resources declared
 a two for one stock split subject to regulatory approval, payable June 11,
 2001 to shareholders of record on May 11, 2001.
 
     Hedging
     Equitable has taken advantage of attractive commodity prices to reduce the
 exposure to price fluctuations for 2001 and 2002.  The current hedge
 position-assuming it were to remain unchanged for the remainder of
 2001-implies a change in earnings of an estimated $0.02 per share for each
 $0.10 change in NYMEX.  Currently, 21 bcfe of 2002 volumes have been hedged at
 approximately $4.50 per mcfe (NYMEX).
 
     Equitable's teleconference with securities analysts will be broadcast live
 via Equitable's website, http://www.eqt.com and will be available for replay
 for a 30 day period.
 
     Equitable Resources is an integrated energy company, with emphasis on
 Appalachian area natural-gas production supply, natural-gas transmission and
 distribution, and leading-edge energy-management services for customers
 throughout the United States.  The company also has energy-service management
 projects in selected international markets.
 
     Disclosures in this press release contain forward-looking statements
 related to such matters as anticipated earnings per share growth, equity
 production levels, effect of hedge positions, and financial and operational
 matters.  The Company notes that a variety of factors could cause the
 Company's actual results to differ materially from the anticipated results or
 other expectations expressed in the Company's forward-looking statements.  The
 risks and uncertainties that may affect the operations, performance,
 development and results of the Company's business include, but are not limited
 to, the following:  Weather conditions, commodity prices for natural gas and
 crude oil and associated hedging activities, availability of financing,
 changes in interest rates, labor negotiations, effects of cost restructuring
 initiatives, unanticipated curtailments or disruptions in production and
 timing and availability of regulatory and governmental approvals.
 
 
                    EQUITABLE RE

SOURCES, INC. AND SUBSIDIARIES STATEMENTS OF CONSOLIDATED INCOME (UNAUDITED) (Thousands except per share amounts) Three Months Ended March 31, 2001 2000 Operating revenues $851,157 $374,877 Cost of sales 665,566 208,939 Net operating revenues 185,591 165,938 Operating expenses: Operation and maintenance 20,647 19,835 Production and exploration 9,680 10,258 Selling, general and administrative 29,858 30,313 Depreciation, depletion and amortization 17,133 29,784 Total operating expenses 77,318 90,190 Operating income 108,273 75,748 Equity earnings of nonconsolidated investments Westport 10,990 - Other 1,942 1,434 12,931 1,434 Earnings before interest & taxes (EBIT) 121,204 77,182 Interest charges 11,467 15,795 Income before income taxes 109,737 61,387 Income taxes 38,471 22,284 Net income $71,266 $39,103 Earnings per share of common stock: Basic: Weighted average common shares outstanding 32,415 32,660 Net income $2.20 $1.20 Diluted: Weighted average common shares outstanding 33,219 33,110 Net income $2.15 $1.18 (A) Due to the seasonal nature of the Company's natural gas distribution and energy marketing businesses, and the volatility of gas and oil commodity prices, the interim statements for the three month periods are not indicative of results for a full year. (B) Pending regulatory approval, earnings per share of common stock and weighted average common shares outstanding have not been adjusted for the two for one stock split. Equitable Utilities Operational and Financial Report Three Months Ending March 31, 2001 2000 OPERATIONAL DATA Heating degree days (normal heating degree days = 3016) 2,818 2,572 Residential sales and transportation volume (MMcf) 13,116 11,733 Commercial and industrial volume (MMcf) 10,367 11,541 Total throughput (MMcf) - Distribution 23,483 23,274 Total throughput (MMbtu) - Pipeline 18,486 23,233 Total throughput (MMbtu) - Marketing 85,749 60,469 Operating Expenses/Net Revenues (%) 43.35% 44.65% EBIT (000's) Distribution $39,785 $34,433 Pipeline $9,289 $9,017 Marketing $156 $3,710 Net Revenues - Distribution (000's) Residential $45,710 $40,964 Commercial & Industrial $18,974 $18,238 O&M and SG&A (excluding other taxes)/Customer - Distribution $78.78 $74.65 Net Revenue/Mmbtu - Marketing $0.0256 $0.0914 Capital expenditures (000's) $7,563 $5,390 FINANCIAL DATA (Thousands) Utility Revenues $213,643 $135,366 Marketing Revenues 571,587 173,016 Total Revenues 785,230 308,382 Purchased natural gas cost 698,333 223,180 Net Revenues 86,897 85,202 Operating and maintenance expense 14,883 14,861 Selling, general and administrative expense 16,499 15,505 Depreciation, depletion and amortization 6,285 7,676 Total Expenses 37,667 38,042 EBIT $49,230 $47,160 Equitable Production Operational and Financial Report Three Months Ended March 31, 2001 2000 OPERATIONAL DATA (Excluding Gulf Operations) Production: Net equity sales, natural gas and equivalents (MMcfe) 8,961 14,539 Average (well-head) sales price ($/Mcfe) $5.10 $2.57 Monetized sales (MMcfe) 5,681 2,854 Average (well-head) sales price ($/Mfce) $4.33 $1.78 Company usage (MMcfe) 1,198 1,420 Lease operating expense excluding severance tax ($/Mcfe) $0.35 $0.31 Severance tax ($/Mcfe) $0.23 $0.10 Depletion ($/Mcfe) $0.39 $0.48 Production Services: Gathered volumes (MMcfe) 24,755 18,793 Average gathering fee ($/Mcfe) $0.67 $0.64 Gathering and compression expense ($/Mcfe) $0.23 $0.26 Gathering and compression depreciation ($/Mcfe) $0.11 $0.12 Total operated volumes (MMcfe) 22,526 18,813 Volumes handled (MMcfe) 27,857 21,317 Selling, general and administrative ($/Mcfe handled) $0.23 $0.23 Capital expenditures (excludes Statoil Acquisition) (000's) $6,468 $9,294 FINANCIAL DATA (Thousands) Revenue from Production $70,347 $42,472 Services: Revenue from Gathering Fees 16,502 11,974 Other Revenues 3,638 2,539 Total revenues 90,487 56,985 Gathering and compression expenses 5,765 4,957 Lease operating expense 5,539 5,895 Severance tax 3,661 1,898 Depreciation, depletion and amortization 9,349 13,868 Selling, general and administrative 6,496 4,846 Exploration, including dry hole expense 480 486 Total operating expenses 31,290 31,950 Equity earnings from nonconsolidated investments 349 - EBIT excluding Gulf operations 59,546 25,035 EBIT from Gulf operations - 6,426 Total EBIT $59,546 $31,461 Noresco Operational and Financial Report Three Months Ending March 31, 2001 2000 OPERATIONAL DATA (Thousands $) Revenue backlog, end of period $85,325 $70,078 Construction completed $20,722 $19,991 Gross profit margin 23.8% 22.2% SG&A as a % of revenue 16.1% 21.7% Development expenses as a % of revenue 3.2% 5.4% Capital expenditures $194 $341 FINANCIAL DATA (Thousands $) Energy service contract revenue $34,464 $30,600 Energy service contract cost 26,258 23,804 Gross profit margin 8,206 6,796 Selling, general and administrative expenses 5,546 6,640 Amortization of goodwill 963 937 Depreciation and depletion 479 357 Total expenses 6,988 7,934 Equity earnings of nonconsolidated investments 1,593 1,434 EBIT $2,811 $296 Equitable Resources' recent news releases are available free of charge by fax through Company News on Call at 1-800-758-5804, ext. 289250, or on the Internet at http://www.eqt.com . MAKE YOUR OPINION COUNT - Click Here http://tbutton.prnewswire.com/prn/11690X52173942

SOURCE Equitable Resources Inc.
    PITTSBURGH, April 20 /PRNewswire Interactive News Release/ -- Equitable
 Resources Inc. (NYSE:   EQT) today announced record first quarter 2001 earnings
 per diluted share, excluding earnings from Westport Resources, of $1.93 on
 record net income of $64.2 million.  This represents a 64% increase over the
 $1.18 per share on net income of $39.1 million reported for the same period a
 year ago.  Including Westport, Equitable reported total earnings per diluted
 share of $2.15 for the quarter ended March 31, 2001.
     The improvement in earnings is mainly attributable to higher commodity
 prices, increased throughput in the utility segment, lower interest expense
 and higher margins in the NORESCO segment.  The increase was partially offset
 by an increased provision for credit-related reserves in the Production and
 Utility Segments due to higher prices.
 
     Quarterly Results by Business
 
     Equitable Utilities
     Equitable Utilities had earnings before interest and taxes (EBIT) for the
 March 2001 quarter of $49.2 million, an increase of $2.0 million over the
 $47.2 million reported for the same period last year. The improved results for
 2001 are primarily attributable to higher distribution net revenues, due
 mainly to colder weather.  Heating degree-days were 2,818 in the March 2001
 quarter.  This is 9.6% colder than the 2,572 days recorded in 2000 but
 6.6% warmer than the 30-year normal of 3,016.
     Net operating revenues for the three months ended March 31, 2001 were
 $86.9 million compared to $85.2 million for the same quarter in 2000 (or
 $83.6 million excluding the $1.6 million benefit due to the Federal Energy
 Regulatory Commission rate case settlement in 2000).  Compared to the adjusted
 2000 quarterly results, 2001 net revenues increased by $3.3 million.   The
 increase was mainly due to increased distribution net revenues resulting from
 colder temperatures.  Residential and commercial volumes increased by 12% and
 10%, respectively, with the increases being weather-related; however,
 industrial volumes declined by 37%, essentially offsetting the  commercial
 throughput increases. The margin from this large industrial business is low,
 and consequently had no material impact on the quarter's results.
     Total expenses for the March 2001 quarter were $37.7 million compared to
 the $38.0 million reported during the same period last year.  After adjusting
 for $1.2 million in amortization of stranded cost recovery in the first
 quarter of 2000 and $1.9 million in increased credit-related reserves due to
 higher natural gas prices in the first quarter of 2001, total expenses at the
 Utility were down $1.0 million.
 
     Equitable Production
     Equitable Production had EBIT for the March 2001 quarter of $59.5 million
 compared to $31.5 million for the 2000 quarter.  The 2000 results included
 $6.4 million from the Gulf of Mexico activities which were merged into
 Westport effective April 1, 2000 and therefore, are no longer included in this
 segment.  The Appalachian operation's positive results were primarily due to
 higher commodity prices, increased operated volumes attributable to the
 acquisition of oil and gas properties from Statoil, and higher gathering and
 service volumes.
     Revenues for the first quarter 2001 increased 59% to $90.5 million
 compared to $57.0 million in 2000.  The revenue increase was due to total
 operated volumes that were 20% higher as a result of the Company's Statoil
 acquisition, as well as an effective gas price of $4.80 per mcfe vs. $2.44 for
 the same period last year.
     Operating expenses for the March 2001 quarter were $31.3 million compared
 to $32.0 million last year.  Excluding $1.9 million of increases in credit and
 other price-related reserves, operating expenses were down $2.6 million from
 the March 2000 quarter.  This performance was achieved despite inflationary
 pressures on the cost of services throughout the industry, resulting from
 strong commodity prices.
 
     NORESCO
     The NORESCO segment posted EBIT of $2.8 million compared to the
 $0.3 million posted in the first quarter last year.  The increase in EBIT is
 primarily attributable to increased revenues, higher gross margin, the absence
 of a one time charge in the first quarter 2000, and increased equity earnings.
 Total revenue increased by 13% to $34.5 million compared to $30.6 million in
 2000, due to increased construction activity resulting from the segment's
 backlog increase.
     NORESCO's first quarter 2001 gross margin increased to $8.2 million
 compared to $6.8 million during the first quarter 2000.  Gross margin as a
 percentage of revenue increased to 23.8% in the first quarter 2001 compared to
 22.2% during the same period in 2000.  This positive result was primarily
 attributable to a shift towards large projects with higher gross margins and
 improved cost controls.
     Total expenses were essentially flat year over year.  Total expenses for
 first quarter 2001 were $7.0 million compared to $7.9 million in the first
 quarter 2000.  The first quarter 2000 expenses included a charge of
 $1.0 million related to the exiting of international power development.
     This segment's backlog increased to $85.3 million compared to
 $70.1 million a year earlier.  This increase is primarily due to energy
 infrastructure project additions and reflects NORESCO's focus on this market
 segment.
 
     Other Business
 
     Westport
     Equitable Resources reported $7.1 million of equity earnings from its
 minority ownership in Westport Resources during the first quarter 2001.  These
 results reflect the March 2001 quarter for Westport.
 
     Dividend
     On April 19, 2001, the Board of Directors of Equitable Resources declared
 a regular quarterly cash dividend of 32 cents per share (pre-split), an
 8.5% increase, payable June 1, 2001 to shareholders of record on May 11, 2001.
 
     Stock Split
     On April 19, 2001, the Board of Directors of Equitable Resources declared
 a two for one stock split subject to regulatory approval, payable June 11,
 2001 to shareholders of record on May 11, 2001.
 
     Hedging
     Equitable has taken advantage of attractive commodity prices to reduce the
 exposure to price fluctuations for 2001 and 2002.  The current hedge
 position-assuming it were to remain unchanged for the remainder of
 2001-implies a change in earnings of an estimated $0.02 per share for each
 $0.10 change in NYMEX.  Currently, 21 bcfe of 2002 volumes have been hedged at
 approximately $4.50 per mcfe (NYMEX).
 
     Equitable's teleconference with securities analysts will be broadcast live
 via Equitable's website, http://www.eqt.com and will be available for replay
 for a 30 day period.
 
     Equitable Resources is an integrated energy company, with emphasis on
 Appalachian area natural-gas production supply, natural-gas transmission and
 distribution, and leading-edge energy-management services for customers
 throughout the United States.  The company also has energy-service management
 projects in selected international markets.
 
     Disclosures in this press release contain forward-looking statements
 related to such matters as anticipated earnings per share growth, equity
 production levels, effect of hedge positions, and financial and operational
 matters.  The Company notes that a variety of factors could cause the
 Company's actual results to differ materially from the anticipated results or
 other expectations expressed in the Company's forward-looking statements.  The
 risks and uncertainties that may affect the operations, performance,
 development and results of the Company's business include, but are not limited
 to, the following:  Weather conditions, commodity prices for natural gas and
 crude oil and associated hedging activities, availability of financing,
 changes in interest rates, labor negotiations, effects of cost restructuring
 initiatives, unanticipated curtailments or disruptions in production and
 timing and availability of regulatory and governmental approvals.
 
 
                    EQUITABLE RESOURCES, INC. AND SUBSIDIARIES
 
                   STATEMENTS OF CONSOLIDATED INCOME (UNAUDITED)
                       (Thousands except per share amounts)
 
                                                       Three Months Ended
                                                            March 31,
                                                     2001              2000
 
     Operating revenues                            $851,157          $374,877
     Cost of sales                                  665,566           208,939
          Net operating revenues                    185,591           165,938
 
     Operating expenses:
          Operation and maintenance                  20,647            19,835
          Production and exploration                  9,680            10,258
          Selling, general and
           administrative                            29,858            30,313
          Depreciation, depletion and
           amortization                              17,133            29,784
               Total operating expenses              77,318            90,190
 
     Operating income                               108,273            75,748
 
     Equity earnings of nonconsolidated
      investments
        Westport                                     10,990                 -
        Other                                         1,942             1,434
                                                     12,931             1,434
 
     Earnings before interest & taxes
      (EBIT)                                        121,204            77,182
 
     Interest charges                                11,467            15,795
 
     Income before income taxes                     109,737            61,387
     Income taxes                                    38,471            22,284
 
     Net income                                     $71,266           $39,103
 
     Earnings per share of common stock:
          Basic:
               Weighted average common
                shares outstanding                   32,415            32,660
 
                    Net income                        $2.20             $1.20
 
          Diluted:
               Weighted average common
                shares outstanding                   33,219            33,110
 
                    Net income                        $2.15             $1.18
 
 
      (A) Due to the seasonal nature of the Company's natural gas distribution
          and energy marketing businesses, and the volatility of gas and oil
          commodity prices, the interim statements for the three month periods
          are not indicative of results for a full year.
 
      (B) Pending regulatory approval, earnings per share of common stock and
          weighted average common shares outstanding have not been adjusted for
          the two for one stock split.
 
 
                               Equitable Utilities
                         Operational and Financial Report
 
                                                      Three Months Ending
                                                            March 31,
                                                     2001              2000
 
              OPERATIONAL DATA
     Heating degree days (normal heating
      degree days = 3016)                             2,818             2,572
 
     Residential sales and transportation
      volume (MMcf)                                  13,116            11,733
     Commercial and industrial volume
      (MMcf)                                         10,367            11,541
          Total throughput (MMcf) -
           Distribution                              23,483            23,274
     Total throughput (MMbtu) - Pipeline             18,486            23,233
     Total throughput (MMbtu) - Marketing            85,749            60,469
 
     Operating Expenses/Net Revenues (%)             43.35%            44.65%
 
     EBIT (000's)
          Distribution                              $39,785           $34,433
          Pipeline                                   $9,289            $9,017
          Marketing                                    $156            $3,710
 
     Net Revenues - Distribution (000's)
          Residential                               $45,710           $40,964
          Commercial & Industrial                   $18,974           $18,238
 
     O&M and SG&A (excluding other
      taxes)/Customer - Distribution                 $78.78            $74.65
 
     Net Revenue/Mmbtu - Marketing                  $0.0256           $0.0914
 
     Capital expenditures (000's)                    $7,563            $5,390
 
 
         FINANCIAL DATA (Thousands)
     Utility Revenues                              $213,643          $135,366
     Marketing Revenues                             571,587           173,016
          Total Revenues                            785,230           308,382
 
     Purchased natural gas cost                     698,333           223,180
          Net Revenues                               86,897            85,202
 
     Operating and maintenance expense               14,883            14,861
     Selling, general and administrative
      expense                                        16,499            15,505
     Depreciation, depletion and
      amortization                                    6,285             7,676
          Total Expenses                             37,667            38,042
 
     EBIT                                           $49,230           $47,160
 
 
                               Equitable Production
                         Operational and Financial Report
 
                                                      Three Months Ended
                                                           March 31,
                                                     2001              2000
        OPERATIONAL DATA (Excluding Gulf
         Operations)
 
     Production:
     Net equity sales, natural gas and
      equivalents (MMcfe)                             8,961            14,539
     Average (well-head) sales price
      ($/Mcfe)                                        $5.10             $2.57
 
     Monetized sales (MMcfe)                          5,681             2,854
     Average (well-head) sales price
      ($/Mfce)                                        $4.33             $1.78
 
     Company usage (MMcfe)                            1,198             1,420
 
     Lease operating expense excluding
      severance tax ($/Mcfe)                          $0.35             $0.31
     Severance tax ($/Mcfe)                           $0.23             $0.10
     Depletion ($/Mcfe)                               $0.39             $0.48
 
     Production Services:
     Gathered volumes (MMcfe)                        24,755            18,793
     Average gathering fee ($/Mcfe)                   $0.67             $0.64
     Gathering and compression expense
      ($/Mcfe)                                        $0.23             $0.26
     Gathering and compression
      depreciation ($/Mcfe)                           $0.11             $0.12
 
     Total operated volumes (MMcfe)                  22,526            18,813
     Volumes handled (MMcfe)                         27,857            21,317
     Selling, general and administrative
      ($/Mcfe handled)                                $0.23             $0.23
 
     Capital expenditures (excludes
      Statoil Acquisition) (000's)                   $6,468            $9,294
 
        FINANCIAL DATA (Thousands)
     Revenue from Production                        $70,347           $42,472
     Services:
        Revenue from Gathering Fees                  16,502            11,974
        Other Revenues                                3,638             2,539
        Total revenues                               90,487            56,985
 
     Gathering and compression expenses               5,765             4,957
     Lease operating expense                          5,539             5,895
     Severance tax                                    3,661             1,898
     Depreciation, depletion and
      amortization                                    9,349            13,868
     Selling, general and administrative              6,496             4,846
     Exploration, including dry hole
      expense                                           480               486
        Total operating expenses                     31,290            31,950
 
     Equity earnings from nonconsolidated
      investments                                       349               -
 
     EBIT excluding Gulf operations                  59,546            25,035
 
     EBIT from Gulf operations                          -               6,426
 
     Total EBIT                                     $59,546           $31,461
 
 
                                      Noresco
                          Operational and Financial Report
 
                                                        Three Months Ending
                                                             March 31,
                                                       2001              2000
        OPERATIONAL DATA (Thousands $)
     Revenue backlog, end of period                   $85,325          $70,078
     Construction completed                           $20,722          $19,991
 
     Gross profit margin                                23.8%            22.2%
     SG&A as a % of revenue                             16.1%            21.7%
     Development expenses as a % of
      revenue                                            3.2%             5.4%
 
     Capital expenditures                                $194             $341
 
         FINANCIAL DATA (Thousands $)
     Energy service contract revenue                  $34,464          $30,600
     Energy service contract cost                      26,258           23,804
          Gross profit margin                           8,206            6,796
 
     Selling, general and administrative
      expenses                                          5,546            6,640
     Amortization of goodwill                             963              937
     Depreciation and depletion                           479              357
          Total expenses                                6,988            7,934
 
     Equity earnings of nonconsolidated
      investments                                       1,593            1,434
 
     EBIT                                              $2,811             $296
 
     Equitable Resources' recent news releases are available free of charge by
 fax through Company News on Call at 1-800-758-5804, ext. 289250, or on the
 Internet at http://www.eqt.com .
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X52173942
 
 SOURCE  Equitable Resources Inc.

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