Shareholder Rights Law Firm Johnson & Weaver, LLP Announces Investigation of Fairness of Plains Exploration & Production Co.’s

  Shareholder Rights Law Firm Johnson & Weaver, LLP Announces Investigation of
  Fairness of Plains Exploration & Production Co.’s Proposed Acquisition by
  Freeport-McMoRan

Business Wire

SAN DIEGO -- December 05, 2012

Shareholder Rights Law Firm Johnson & Weaver, LLP is investigating whether
members of the boards of directors of Plains Exploration & Production Co.
(“Plains”) (NYSE: PXP) and McMoRan Exploration Co. (“McMoRan”) (NYSE: MMR)
breached their fiduciary duties in connection with those companies’ proposed
acquisitions by Freeport-McMoRan Copper & Gold Inc. (“Freeport”) (NYSE: FCX).

On December 5, 2012, Freeport announced that it had entered into definitive
merger agreements to acquire Plains, as well as the outstanding shares of
McMoRan Exploration Co. (“McMoRan”). Plains is the largest shareholder of
McMoRan, currently owning 31.5% of McMoRan’s stock.

For each share of Plains stock, Plains shareholders will receive $25.00 in
cash and 0.6531 shares of Freeport common stock, which was equivalent to
$50.00 per share based on Freeport’s December 4, 2012 closing price.
Freeport’s share price, however, declined over 15% on the announcement,
immediately reducing the value of the merger to Plains shareholders to below
$47 per share. That price is far below what it should be. At least one stock
analyst has set a $78 price target for Plains shares.

McMoRan shareholders will receive for each share of McMoRan stock, $14.75 in
cash and 1.15 units of a royalty trust which will receive a 5% royalty
interest in any production from McMoRan’s future deepwater exploration sites.

“The executives at the acquired companies appear to be getting large paydays
if this deal goes through, but the shareholders do not get the same kind of
preferential treatment,” said Frank Johnson of Johnson & Weaver, LLP.
“Therefore, the boards may have conferred benefits on management at the
expense of the shareholders.” If you have any questions about your rights or
what benefits you may be entitled to obtain, please contact Frank Johnson or
David Elliot.

Johnson & Weaver, LLP is a nationally recognized shareholders’ rights law
firm. The firm represents individual and institutional investors in
shareholder derivative and securities class action lawsuits. For more
information about the firm and its attorneys, please visit
http://www.johnsonandweaver.com.

Contact:

Johnson & Weaver, LLP
619-230-0063
Frank Johnson, frankj@johnsonandweaver.com
David Elliot, davide@johnsonandweaver.com
 
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