DJX -$109.56 Dow Jones Industrial Average ** Stop Loss 110.25 **
Last week definitely did not go as expected. The spike back to 10960 was not foreseen but it does not necessarily void the play. I mentioned specifically that I did not want to put a stop on it before last week just in case a first week rally broke out.
That is now changed. The rally appeared and I am putting the stop at 11025, just over the Dow 11,000 level everyone is targeting. That would be a good place for profit taking to begin.
I would also add one more contract(s) to the position here at 10956. The option is quoted at $1.30 as of Friday's close.
Remember I had hoped to get a fill at 10950 when I started the play two weeks ago. Nothing has changed with that outlook.
The Dow has struggled to touch 11000 for the last month and has failed to pass even the 10984 we saw back in March. It has found resistance to be strong and the clock is running out on 2005.
The analysts seem split on which will come first, 9,000 or 12,000. We really don't care because this play is strictly a timing play based on the historical January weakness of late.
We are going to use the DJX because options are cheap and there are plenty of strikes.
This is going to be a short-term play, probably less than 60 days. It will be target driven for both entry and exit. There will be no insurance but we will establish stops once in the position.
We are going to add to the position on any Dow gains through Jan-6th. Add one contract, two, ten or a dozen at each trigger point. It is up to you. Since we cannot know what the Dow will do we want to average cost ourselves into a put position at Dow 11000. If it only reaches 10950 we will only have 2/3 of our target position.
Breakout target: $109.50 (Dow 10950)
Breakout target: $110.00 (Dow 11000)
If the Dow hits 10900 but does not reach 10950 then add to your position on any breakdown to 10800. ** Added @ $1.90 ** 12/27
Added @ $1.30 on 01/08 at 10956.
Average cost now $1.62
FCX - $59.00 - Freeport McMoran ** No Stop **
FCX went vertical on Tuesday and set a new all time high at $60. Gold hit $541.80 on Friday and shows no signs of backing off. I see no change in this play.
I read last week that Harry Schultz is predicting $800-$900 gold ahead. I sure hope he is right but that would probably mean the rest of the market and the economy would be in the tank. I do believe gold will hit those highs after Peak Oil hits in 2007.
Freeport-McMoran Copper & Gold Inc. is a copper and gold mining and production company. The Company's principal asset is the Grasberg mine. Grasberg contains gold reserve and copper reserves. Its principal operating subsidiary is PT Freeport Indonesia. The Company owns approximately 90.64% of PT Freeport Indonesia, and the Government of Indonesia owns the remaining approximate 9.36%. PT Freeport Indonesia mines, processes and explores for ore containing copper, gold and silver. It operates in the remote highlands of the Sudirman Mountain Range in the province of Papua, Indonesia, which is on the western half of the island of New Guinea. PT Freeport Indonesia markets its concentrates containing copper, gold and silver worldwide. The Company also smelts and refines copper concentrates in Spain, and markets the refined copper products through Atlantic Copper, S.A., the wholly owned subsidiary of the Company among others, such as PT Irja Eastern Minerals and FM Services Company
Insurance put: Feb $50 FCX-MK if FCX trades @ $53.
Entry $52.00 (12/21)
DTX - $421.35 - Dow Jones Trans Index ** Stop 430 **
No change to this play. The transports were the weakest link in a very strong market. If that market weakens I believe the transports will lead it down.
The Dow Transports have been in vertical mode since the October lows. The decline in oil/gas/diesel prices has given them wings and the strong growth in Q4 shipping sent them to new highs.
January has not been kind to the transports for the last five years. In 2005 the first three weeks of January saw a drop of nearly -400 points in the transportation average. In 2004 the decline did not begin until the 3rd week of January but continued for nearly -400 points. The decline in 2003 begin with the opening of trading for 2003 and continued for nearly -500 points to bottom on the week of March 9th. 2002 losses were somewhat moderate compared to 2003-2005 with only a decline of around -250 points but it did start with the opening of trading for 2002. 2001 was ugly with more than -575 points lost from the end of December high at 3157 to the March low at 2578. In 2000 the index fell from 3017 to 2260 for a whopping -757 point drop.
While nobody can forecast a repeat the combination of a new all time high just before a potentially weak January seems to be a match made in heaven.
The only fly in this ointment is the thin trading in the options. There are no leaps and future months don't even have put strikes near the current index level.
I am going to take the trade anyway and hope that new strikes are added before we get an entry. If not we will play what the dealer gives us.
I add EXPD as a put candidate for those who don't want to play in the thin DTX market.
I am not going to use insurance on this play as options are expensive. We are going to roll the dice and take our chances. If this is too risky for you please take the EXPD play instead. The difference between the two is a potentially large index move of 40+ points compared to a 10-point move in EXPD. Both could be very profitable.
We could have a new transport high next week but anyone that can do basic math should be very afraid of buying at the top ahead of January given the history for the last five years. I toyed with putting in a breakout/breakdown entry scheme but with the spike last week I was afraid it would collapse before we could get a decent entry. Option premiums could accelerate quickly.
This will be a hard entry for record keeping purposes at $426 but I strongly advise everyone to wait for weakness if we open with a spike on Tuesday. I would love to see a continued run to $450 on short covering into year-end.
We could easily see a dip to $370 over the next 90 days so buying a March put option at $400 is not unreasonable despite the index trading at $426 today. Since the $400 strike is the highest put strike listed for March and June that would be your best entry if none show up on Tuesday. Hopefully the market maker will add some on Tuesday with a new spike on the Transports.
The alternate strike would be the Feb $420 put just out of the money. A -40 point drop in the index would be a fat premium if it occurred before expiration in February. It is definitely possible.
Personally I am probably going to trade both strikes and roll out to a higher March strike when/if they become available.
Entry $426 (12/27)
EXPD - $67.68 - Expeditors International ** Stop Loss $71 **
EXPD failed to rally substantially from last week and found a solid top at $68.25. As with the DTX play above I still feel the transports will crater.
Target $60 as a profit exit.
EXPD is another way to play the anticipated roll over of the transportation sector. Unlike the DTX the options are liquid and cheap. EXPD spiked higher with the sector from $55 to over $72 on very little change in fundamentals. As you can see on the chart the spike is very unsupported. On a shorter term chart EXPD failed to near its highs on last weeks transport bounce and looks very likely to give back a majority of its gains should the transports in general suffer another January disaster.
This is not a negative indication of EXPD in general rather than just another way to play the potential transport weakness.
Expeditors International of Washington, Inc. (Expeditors International) is engaged in the business of providing global logistics services. The Company offers its customers a seamless international network supporting the movement and strategic positioning of goods. Its services include the consolidation or forwarding of air and ocean freight. In each United States office and in many overseas offices, the Company acts as a customs broker. It also provides additional services, including distribution management, vendor consolidation, cargo insurance, purchase order management and customized logistics information.
No insurance due to cheap options
CSC - $55.10 - Computer Sciences Corp ** No Stop **
Rumors are flying again. Last week the rumor surfaced that Hewlett Packard and the private equity firm Blackstone Group could team up to buy CSC. HPQ is a lightweight in the service dept compared to IBM and EDS. Blackstone is already involved in a potential deal for ACS in the $8 billion range.
It is possible we could see a bidding ware here with IBM moving in to grab a bigger piece of the pie. The former bidders, Lockheed Martin along with some private equity firms may quickly jump back into the ring given the interest from HPQ.
Original Play Description:
Computer Sciences was the target of a takeover back in October and the takeover failed because CSC wanted $65 and while the acquirers agreed in principle to that amount they could not structure a deal that made everyone happy. The parties agreed to disagree and discontinued talks. All parties said they could begin again at any time.
CSC spiked from $46 to $60 on the initial news but quickly fell back again as no further news was forthcoming.
I heard Crammer talking about it on Friday and his presentation made perfect sense. Since the acquisition talks CSC has signed several more contracts for nearly $5 billion dollars and more are in the wings. CSC is more valuable today than they were back in October. If you look at the news for CSC they are signing monster deals almost every day.
Since the talks were dropped General Dynamics paid $2.1 billion for Anteon, which valued them at 13 times earnings. At the $12 billion number discussed for CSC it values them at something less than 17 times forward earnings. CSC says they have more than $30 billion of projected deals in their defense Dept pipeline along with another $10 billion in non-defense bids.
The stock has been dormant at just under $50 since the talks ceased and the opportunity for the same buyout team or someone else to appear over the next year is very strong. As Cramer was saying on Friday there is little or no downside and only upside for CSC. After doing the research I believe him on this one.
Computer Sciences Corporation (CSC) is a provider of information technology (I/T) and professional services. Outsourcing activities include operating all or a portion of a customer's technology infrastructure and applications, and business process outsourcing. I/T and professional services include systems integration, consulting and other professional services and software systems sales and related services. CSC provides these services to customers in the Global Commercial and United States federal government markets. On a geographic basis, CSC provides services to Global Commercial customers in the United States, Europe and other international locations. Operations in Australia, Asia and Canada generate all revenue within Other International.
I chose the $50 call instead of a higher call because any buyout offer caps the upside and time premium will evaporate instantly. We want to be as close as possible to the money on this one. A new $65 buyout number would turn the $50 LEAP into $15 overnight. The cheaper $55 LEAP would go from $4 to $10 so it is not a loser just a different way of looking at it. Both would represent about a +130% to +150% return. The difference would be in the buyout offer. Say they decided to take a $62 offer instead of $65. The lower strike would benefit most.
Insurance Put: June $45 Put CSC-OI only if CSC trades at $47.75.
VLO - $55.90 Valero ** No Stop **
No complaints here with VLO at a new two month high on Friday. Summer is profit time for Valero with the highest margins in the industry. I am sure we will see some decline when oil cools but every dollar higher today is one more cushion for the fall. I heard an analyst on Friday saying VLO could return to $100 by year-end.
VLO should be a strong performer in 2006 with refining margins better than anyone else in the game. VLO has already made its low sulfur conversion in preparation for the new 2006 rules. According to VLO the new rules will remove 500,000 bpd of diesel from the market at a time when diesel usage is increasing. The effective date for Diesel is June-2006. This will make the price for sweet crude rise while VLO is profiting from processing sour crude. We could easily see the price return to the $100 range if oil demand continues to rise.
Valero Energy Corporation (Valero) owns and operates 18 refineries having a combined throughput capacity, including crude oil and other feedstocks, of approximately 3.3 million barrels per day. Valero produces environmentally clean refined products, such as reformulated gasoline (RFG), gasoline meeting the specifications of the California Air Resources Board (CARB), CARB diesel fuel, low-sulfur diesel fuel and oxygenates (liquid hydrocarbon compounds containing oxygen). It also produces conventional gasoline, distillates, jet fuel, asphalt and petrochemicals. Valero markets branded and unbranded refined products on a wholesale basis in the United States and Canada through a bulk and rack marketing network. It sells refined products through a network of more than 4,700 retail and wholesale branded outlets in the United States, Canada and Aruba. Valero's retail operations include approximately 1,500 company-operated sites that sell transportation fuels and convenience store merchandise.
2007 $60 LEAP Call VHB-AL @ $6.60
Insurance Put: March $45 Put VLO-OI @ $1.20
Entry $52.30 (12/16)
ESLR $11.30 - Evergreen Solar ** Stop Loss $9.50 **
They say a rising tide floats all boats and it was definitely true for Evergreen. The stock has been moving sideways while we wait for the January approval. (est Jan-17th to 27th)
I raised the stop just in case market weakness appears before then. The dip in late December caused me to worry assuming the January news is as good as expected. Why sell unless it was boredom. ESLR was up +500% into year-end so the profit taking motive was also alive and well.
Evergreen Solar is a leader in the struggling solar space with installations all over the world. The key to any solar technology is volume and the California initiative officially announced on Tuesday would install one million solar assisted homes could be the push that makes solar finally affordable.
The California P.U.C. approval is the only roadblock and it is expected to be approved sometime in January after a 30-day comment period. ESLR is a competitor with improving technology and a real business model. They are yet to be profitable but are closing in on that goal. A true volume spurt as they would get from the million home project should assure that profitability through scale. Solar is the way of the future and the million roof project could be the key. The California initiative would also require home builders in CA to offer a solar component to any buyer by 2010. That would cover 150,000 homes a year.
California would subsidize up to $3.2 billion in solar roofing at the rate of $2.80 per watt over the next ten years starting in 2006.
Description of the plan:
There is no guarantee this will be approved but the odds are very good. I believe in solar enough that I am willing to take the risk on ESLR even without the California initiative. Options are cheap and there is a strong upside if this catches on. Unfortunately there are no leaps. We will buy the June calls and move up to a farther date later if the play progresses successfully.
The Dept of Energy also has a million roof program in progress. http://www.millionsolarroofs.org/
Other companies in the sector are GE, Shell Solar, BP Solar, Kyocera Solar, PowerLight and SunPower (SPWR).
Evergreen Solar, Inc. develops, manufactures and markets solar power products enabled by its String Ribbon technology that provides reliable and environmentally clean electric power throughout the world. Its products are targeted at on grid and off-grid applications. The Company is developing technology at the wafer, cell and module stages of manufacturing, and it holds patents and other intellectual property in all three areas. In the String Ribbon technique, strings are pulled vertically through a shallow pool of molten silicon and the silicon solidifies between the strings to form a continuous ribbon of crystalline silicon. The ribbon is then cut and prepared for cell fabrication.
Buy June $12.50 Call QLU-FV @ $2.35
Entry $11.71 (12/12)
OSTK $27.51 - Overstock.com ** Stop Loss $36 **
** Target $20 for a profit exit **
Overstock did not participate in the rally and finished down for the week. Once market weakness returns I expect new lows. The current support at $27.50 is from August 2004 and should crack with any pressure at all.
On Friday Overstock filed a notice that they had extended their loan with Wells Fargo due 12/31/05 to Jan-1st, 2008. The $30 million loan is secured by "all or substantially all" of the companies assets. There is an obscure reference to "substitution of collateral for certain assets" that remain unexplained.
We will tighten the stop ahead of earnings but they are not until late January.
Probably the worst managed retail site on the Internet. The President, Patrick Byrne, blamed the poor performance of his stock on an evil "Sith Lord." (A Star Wars Character) Patrick continually ranks in the top five worst performing executives of a public company as rated by the Motley Fool. His latest claim to poor stock performance is the possible existence of "millions of counterfeit shares of OSTK trading on the Nasdaq." I am not kidding. He blames the SEC with being in collusion with the Nasdaq for refusing to disclose the number of counterfeit shares in the system. He warned "shareholders that their only prophylactic against hedge fund counterfeiting was to obtain the actual certificates from your broker and store them in a safe place." This would of course prohibit your shares from being traded. This was in response to a "Get Shorty" article in the WSJ.
Overstock has filed suit against several research firms claiming a conspiracy to drive its stock price down. Patrick claims research firm Gradient Analytics and Rocker Partners were at the center of a vast conspiracy aligned against Overstock. He warned that the criticism of Overstock.com will not go unpunished.
Patrick was forced to give up his role as Chairman in October with his father John Byrne taking back control. Patrick remains the president but that has not diminished his wild accusations.
The company has a good business model but has failed to execute on so many levels that it should be criminal. They have the worst customer service of any E-Commerce site I have every visited. I have made several purchases in the past from OSTK and all but one were botched terribly. The products come in an unlabeled box with no return address label and no invoice. You can't return them without some serious effort. Consumers will not put up with this when other companies like Amazon.com, NewEgg.com and Ecost.com are models for the industry.
Sales at OSTK have slowed and operating expenses are growing faster than revenue and marketing costs nearly doubled in Q3. Cost of acquisition for new customers rose +30% over the prior quarter. This is a signal that competition is winning the battle and prior customers are not returning. OSTK has a huge debt load and slowing sales will not help. Morningstar gives them a D+ for financial health and an F for profitability. Analysts are dropping estimates for the stock into the high $20 range and well below current prices.
In August, Patrick Byrne held a conference call in which he basically said that everyone from hedge funds to journalists to regulators had all been scheming to destroy his company. He said the plan was being orchestrated by someone he identified only as the "Sith Lord." He really said that. Rob Plaza at Zachs Investment Research said when a CEO is putting the focus on things he can't control like short interest there could be a bigger problem he does not want you to see. He said an even bigger problem is when management blames regulators for stock manipulation you have a real problem.
The last really dumb statement, or was it, came from Patrick on Nov-10th. He said "I don't give stock advice but the average investor should probably steer clear of Overstock." That advice I will follow.
Overstock.com, Inc. is an online closeout retailer, offering discount, brand-name merchandise for sale primarily over the Internet. The Company's merchandise offerings include bed-and-bath goods, home decor, furniture, kitchenware, watches, jewelry, computers and electronics, sporting goods and apparel and designer accessories. It also sells books, magazines, compact discs (CDs), digital versatile discs (DVDs), videocassettes and video games (BMV). The Company also offers limited travel services. Overstock.com offers approximately 50,000 non-BMV products and approximately 500,000 BMV products in eight departments on its main Website, www.overstock.com. Overstock.com has a direct business in which it buys and takes possession of excess inventory for resale. It also has another worldstock Website, www.worldstock.com, through which artisans in the United States and around the world can sell their products.
June $35 Put QKT-RG @ $5.00
Entry $38.51 (12/12)
OSTK chart - weekly
KKD $ 5.71 - Krispy Kreme Doughnuts ** Stop Loss $6.25 **
KKD failed to find any buyers during last weeks market romp. This bodes ill for them should the market weaken. If downward motion does not begin again soon I may replace this with a more active play.
The NYSE has given them until mid January to file their reports or be booted from the exchange. However, the creditor deadline for financials of Dec-15th was suddenly extended to April 30th. Despite a resignation from the board and an admission on Tuesday that losses were going to be higher than previously expected the stock refuses to fall. Every dip is quickly bought but we are seeing increasing selling pressure as well. On Friday the stock traded in only a one-cent range for nearly all the day. Very strange behavior. This stock could either break or spike very soon and for reasons not readily apparent.
I lowered the stop loss to $6.25 but with a $1.25 option it is not going to matter much other than ending the play. The difference in option price will be negligible.
Trouble is mounting for KKD. They have not filed financials since November 2004 and they are probably going to miss the Dec-15th deadline imposed by creditors. They warned this would happen about 10 days ago. They have to restate financials for several years due to errors in accounting for expenses, loans and franchisee info.
The CEO Scott Livengood and other top executives were ousted earlier this year on allegations of financial misdealing and securities fraud. Suits are mounting from numerous groups, debtors, employees, franchisees and vendors over all types of non payment, fraud and failure to follow through with agreements.
Stephen Cooper, a turnaround specialist, took over the reins when the officers were evicted. So far the news has only gotten worse. Stores are closing rapidly including prior showplace stores and once leading producers. Cooper has worked on prior disasters including Polaroid, TWA, Enron and Boston Chicken. That list should give you a clue what is ahead for KKD.
Cooper said the chain cannot operate 4,000 square foot stores profitably and will try to reinvent itself as a smaller, leaner company. They are closing unproductive stores in a reasonable and rational fashion according to Cooper. He wants to focus on increasing sales of coffee and other beverages.
I have written about the similarity between KKD and Boston Chicken for several years and warned numerous times at much higher levels that KKD would end badly just like Boston Chicken. Now the Boston Chicken CEO is running KKD. Amazing prediction.
Yes, Boston Chicken was turned into a profitable entity once again. However it was done at the expense of shareholders. The common stock was cancelled the ownership of the stores was turned over to the debt holders. Boston Chicken wins, investors lose.
I believe that the NYSE will eventually tire of the endless deadlines for financials and will delist them. If that happens it will be the kiss of death for funds still holding the stock and hoping for a miracle return to the $105 levels of yesteryear.
Options are cheap and the KKD story is just waiting for Cooper to write the last chapter. KKD wins, shareholders lose.
Krispy Kreme Doughnuts, Inc. is a specialty retailer of doughnuts. It owns and franchises Krispy Kreme doughnut stores where the Company makes and sells over 20 varieties of doughnuts, including its Hot Original Glazed variety. Each of its traditional stores is a doughnut factory with the capacity to produce from 4,000 dozen to over 10,000 dozen doughnuts daily. Its sales channels consist of on-premises sales and off-premises sales. The Company has two complementary business units: its company and franchised stores, which Krispy Kreme refers to, collectively, as Store Operations and Krispy Kreme Manufacturing and Distribution (KKM&D). At February 1, 2004, there were 357 Krispy Kreme factory stores in operation, of which 338 are located in the United States. During the fiscal year ended February 1, 2004 (fiscal 2003), it acquired the remaining 33% interest in Golden Gate Doughnuts, LLC that it did not already own.
2007 $5.00 LEAP Put OKK-MA @ $1.35
Entry $6.01 (12/12)
HW - $37.33 - Headwaters ** No Stop **
A new two-month high for HW. We are protected against any drop due to the insurance we took out on Dec-27th.
Dec 27th insurance plan:
We currently have no insurance on this play. Looking at the option chain I see that the May $40 call ($2.05) is approximately the same price as the May $35 put ($2.15). I don't believe HW will exceed $40 by May if we get any downdraft in January. By selling the May $40 call against our $40 LEAP and use the proceeds to buy the put we have free insurance at $35 until May. If HW does catch fire we can stop out on the May $40 call for a minor loss that will be offset by our gain in the $40 LEAP. That is my recommendation for Tuesday.
Headwaters (HW) has a compound annual growth rate of more than +120% mainly because it deals with the ash left over from burned coal. Coal generates a lot of ash and it is a problem the electric generating plants have to deal with when these cold fronts really suck up their coal supplies. Headwaters has three separate businesses from that ash. They have a business that buys and sells it for various purposes. Second they have produced a bonding agent to that makes it easy to transport without blowing out of the rail cars. They sell this to others for profit. Third they have a patented process for converting this ash into a synthetic fuel, which is licensed to plants that actually do the conversion.
They also make building materials and a cement substitute that uses this ash to make concrete more durable. Considering the thousands of tons of ash generated each week this appears to be a gold mine for Headwaters. When electric plants fight the tons of daily ash Headwaters is there to help and converts that ash back to dollars. This sounds too good to be true and I think that was the real problem with the decline from $46 in August to the $30 level in October. The ramp from IPO in April from $30 to $46 and decline back to $30 is complete. Those that got in on the good IPO story took their profits as energy prices declined. Now may be the time to jump back on the coal train with Headwaters rather than Peabody.
Headwaters Incorporated is a diversified company providing products, technologies and services to the energy, construction and home improvement industries. Headwaters conduct its business primarily through four business units, including Headwaters Resources, Headwaters Technology Innovation Group (HTI), Headwaters Construction Materials and Headwaters Technology Innovation Group. In September 2004, the Company acquired Tapco Holdings Inc., a manufacturer of building products and professional tools used in residential remodeling and construction. In June 2004, the Company acquired Eldorado Stone, LLC, a manufacturer of architectural manufactured stone based in San Marcos, California. Eldorado Stone is being purchased from Graham Partners, a middle-market private equity firm. Eldorado Stone will be integrated into Headwaters' coal-based construction materials operations.
Dec-27th Insurance Combo:
Entry $35.50 (11/22)
CHK - $32.25 Chesapeake Energy ** No Stop **
CHK rallied to $33.25 on Wednesday but the drop in gas prices has put an ugly spin on CHK's future. While $10 gas is still a positive for CHK it may not be enough to push them higher before earnings. The warmer than normal weather has relaxed the demand for gas and CHK could languish in its recent range for sometime unless the weather changes. We have a good April put and we sold an April $35 call to offset any drop in gas prices. We can afford to watch and wait. CHK could double again by year end since the real gas supply problem has not gone away.
A reader alerted me to the insider buying on CHK, (thanks Joe!) and I must say it is amazing. The Chairman and the President made a total of 14 market buys between Dec-14th and Dec-27th totaling over $73 million. That is an obscene amount of confidence and suggests to me that something is going on at CHK and their outlook is extremely positive. With a market cap of $11 billion they could be a takeover candidate made much more possible by being the third largest holder of gas reserved in the U.S.
Dec-27th Call Insurance:
The April $35 call is $2.15 today and would offset 50% of the cost of our LEAP. We could then afford to watch the fireworks from the sidelines comfortable in the knowledge that we have downside protection in the form of additional income and from the distant put.
Sell the April $35 Call CHK-DG currently $2.15
That protects us until April against any unforeseen changes.
Chesapeake Energy Corporation is an oil and natural gas exploration and production company engaged in the acquisition, exploration and development of properties for the production of crude oil and natural gas from underground reservoirs and the marketing of natural gas and oil for other working interest owners in properties that it operates. The Company's properties are located in Oklahoma, Texas, Arkansas, Louisiana, Kansas, Montana, Colorado, North Dakota and New Mexico. The proved oil and natural gas reserves as of December 31, 2004 were approximately 4.9 trillion cubic feet of gas equivalent (tcfe). At December 31, 2004, approximately 89% of the Company's proved reserves (by volume) were natural gas, and approximately 70% of its proved oil and natural gas reserves were located in the primary operating area, the Mid-Continent region of the United States, which includes Oklahoma, western Arkansas, southwestern Kansas and the Texas Panhandle.
2007 $35 LEAP VEC-AG @ $4.00
Entry $29 (11/04)