Stone Energy Corporation Announces Fourth Quarter and Year-End 2012 Results

 Stone Energy Corporation Announces Fourth Quarter and Year-End 2012 Results

PR Newswire

LAFAYETTE, La., Feb. 25, 2013

LAFAYETTE, La., Feb. 25, 2013 /PRNewswire/ --Stone Energy Corporation (NYSE:
SGY) today announced financial and operational results for the fourth quarter
and year-end of 2012. Some of the highlights include:

  oNet income was $149.4 million, or $3.03 per share for the year ended
    December 31, 2012;
  oNet daily production for 2012 was 42 MBoe (252 MMcfe) per day, a 15%
    annual increase compared to 2011; and
  oEstimated proved reserves as of December 31, 2012 increased to 129 MMboe
    or 773 Bcfe from year-end 2011, representing an annual increase of 28% and
    a production replacement of 285%.

Financial Results

Stone reported fourth quarter 2012 net income of $44.2 million and full year
2012 net income of $149.4 million. The full year 2012 net income of $149.4
million, or $3.03 per share, on revenue of $951.5 million compared with 2011
net income of $194.3 million, or $3.97 per share, on revenue of $869.9
million. The fourth quarter 2012 net income of $44.2 million, or $0.89 per
share, on revenue of $254.9 million compared with net income of $45.5 million,
or $0.93 per share, on revenue of $223.6 million for the fourth quarter of
2011.

Discretionary cash flow for 2012 totaled $619.0 million, compared to $637.7
million during 2011. Discretionary cash flow for the fourth quarter of 2012
of $153.9 million compared to $163.8 million during the fourth quarter of
2011. Please see "Non-GAAP Financial Measure" and the accompanying financial
statements for a reconciliation of discretionary cash flow, a non-GAAP
financial measure, to net cash flow provided by operating activities.

Chief Executive Officer David Welch stated, "We are excited to show both
production and reserves increasing for the third consecutive year. This
achievement was driven by production and reserve growth in our Marcellus
Shale, Deep Water and Deep Gas areas, highlighting the success of our
diversification strategy as our proved reserves mix on a volume equivalent
basis is now 44% Appalachia, 34% Deep Water, and 22% Conventional Shelf/Deep
Gas with an estimated reserve life of over 8 years.Production and revenues
from our lower risk, condensate rich Marcellus shale program and our
successful Deep Gas program, combined with our legacy conventional shelf
assets provide a base from which to launch our exploration efforts in the Deep
Water area. In 2013, we expect to participate in several deep water
exploration wells with working interests ranging from 20 to 40 percent,
signifying a significant acceleration of our deep water exploration
activity".

Net daily production volumes for 2012 averaged 42 thousand barrels of oil
equivalent (MBoe) per day (252 million cubic feet of gas equivalent (MMcfe)
per day), compared with net daily production of 37 MBoe (219 MMcfe) per day in
2011. Net daily production volumes for the fourth quarter of 2012 averaged 45
MBoe (270 MMcfe) per day, compared with net daily production of 36 MBoe (214
MMcfe) per day in the fourth quarter of 2011. The production mix for 2012 was
47% oil, 7% natural gas liquids (NGLs) and 46% natural gas.

Average daily production for the first quarter of 2013 is expected to be 38-40
MBoe (230-240 MMcfe) per day. Production for the first quarter of 2013 has
been negatively impacted by unplanned third party pipeline downtime in
Appalachia, affecting approximately 60 MMcfe per day of projected volumes for
January and most of February. The third party pipeline, which was damaged by
land slips due to heavy precipitation in late December 2012, has been repaired
and volumes from the Mary field are being restored. Please see "Operational
Update - Appalachian Basin (Marcellus Shale)." Updated production guidance
for the full year 2013 is now 40-43 MBoe (240-255 MMcfe) per day with just
over 50% projected as natural gas. Please see "2013 Guidance."

Prices realized during the year ended December 31, 2012 averaged $106.70 per
barrel (Bbl) of oil, $41.70 per Bbl of NGLs and $3.17 per thousand cubic feet
(Mcf) of natural gas as compared to $103.31 per Bbl of oil, $59.28 per Bbl of
NGLs and $4.44 per Mcf of natural gas realized during the year ended December
31, 2011. Prices realized during the fourth quarter of 2012 averaged $106.48
per Bbl of oil, $35.96 per Bbl of NGLs and $3.79 per Mcf of natural gas, as
compared with the fourth quarter 2011 average realized prices of $110.39 per
Bbl of oil, $61.12 per Bbl of NGLs and $4.11 per Mcf of natural gas. All unit
pricing amounts include the cash settlement of effective hedging contracts.

During the fourth quarter and full year 2012, effective hedging transactions
increased the average price received for natural gas by $0.39 and $0.52 per
Mcf, respectively. Realized oil prices during the fourth quarter and full year
2012 were increased due to hedging by $4.04 and $1.20 per Bbl, respectively.
Hedging transactions increased realized gas prices during the fourth quarter
and full year 2011 by $0.68 and $0.51 per Mcf, respectively. Realized oil
prices during the fourth quarter and full year 2011 were decreased due to
hedging by $4.09 and $5.09 per Bbl, respectively. 

Lease operating expenses incurred during 2012 totaled $215.0 million ($13.97
per Boe or $2.33 per Mcfe), compared to $175.9 million ($13.18 per Boe or
$2.20 per Mcfe) during 2011. The increase in lease operating expenses for 2012
was primarily associated with the Pompano field, which was acquired in
December 2011. Additionally, 2012 was impacted by Hurricane Isaac expenses.
For the three months ended December 31, 2012 and 2011, lease operating
expenses were $58.0 million ($14.01 per Boe or $2.33 per Mcfe) and $45.4
million ($13.87 per Boe or $2.31 per Mcfe), respectively.

Transportation, processing and gathering expenses during 2012 totaled $21.8
million, compared to $9.0 million during 2011. The increase resulted from the
liquids rich Pompano and Appalachia gas streams coming on line in early 2012.

Depreciation, depletion and amortization (DD&A) expense on oil and gas
properties totaled $341.1 million ($22.16 per Boe or $3.69 per Mcfe) during
2012, compared to $276.5 million ($20.72 per Boe or $3.45 per Mcfe) during
2011. DD&A expense on oil and gas properties for the three months ended
December 31, 2012 totaled $82.5 million ($19.94 per Boe or $3.32 per Mcfe),
compared to $74.5 million ($22.77 per Boe or $3.80 per Mcfe) during the
comparable period of 2011.

Salaries, general and administrative (SG&A) expenses (excluding incentive
compensation expense) totaled $54.6 million ($3.55 per Boe or $0.59 per Mcfe)
during 2012, compared to $40.2 million ($3.01 per Boe or $0.50 per Mcfe)
during 2011. SG&A expenses (excluding incentive compensation expense) for the
three months ended December 31, 2012 totaled $14.1 million ($3.41 per Boe or
$0.57 per Mcfe), compared to $10.7 million ($3.26 per Boe or $0.54 per Mcfe)
during the comparable quarter of 2011. The increase in SG&A expenses in 2012
was primarily the result of increased staffing and compensation adjustments
(including stock based compensation) and a management fee of $1.0 million for
transition services related to our Pompano acquisition. In 2011, there was a
$3.9 million credit to SG&A expenses, including previously unaccrued insurance
proceeds.

Capital expenditures on oil and gas properties for 2012 were $582.8 million,
which included $65.6 million in normal and hurricane abandonment expenditures,
and excluded $34.5 million in one-time credit adjustments. This compared to
capital expenditures on oil and gas properties during 2011 of $520.8 million,
which included $63.4 million in normal and hurricane abandonment expenditures.
Capitalized salaries, general and administrative (SG&A) expenses were $25.0
million and capitalized interest totaled $37.7 million for 2012. In 2011,
capitalized SG&A was $24.1 million and capitalized interest was $42.0 million.

As of December 31, 2012, we had no outstanding borrowings under our bank
credit facility. In addition, Stone had letters of credit totaling $21.0
million, resulting in $379.0 million available for borrowing based on a
borrowing base of $400 million. The borrowing base is scheduled to be
redetermined by May 2013.

Operational Update

La Cantera (Deep Gas). Recent optimization of the facilities increased the
gross throughput from the two existing wells to 80 MMcfe per day from
approximately 60 MMcfe per day. Stone's net production from the field is
currently 20 MMcfe per day. A third well is currently being drilled, the
Broussard #1 ST #1, to accelerate production from an upper hole zone. The
well is setting casing at 15,890 feet with the estimated total depth for the
well at 18,034 feet. Production from the third well is expected to begin in
the third quarter of 2013. Stone holds a 34.6% non-operated working interest
in the field.

Pompano Field (Deep Water). Successful coil tubing interventions on the A-10
and A-28 wells were performed in the fourth quarter of 2012, pushing the net
field production back over 6,000 Boe per day on this Stone-operated platform.
Stone has also reduced base lease operating expenses in the field by over 20%
since taking over operatorship in March 2012. Discussions for a platform rig
for the 2014/2015 timeframe are ongoing.

Pompano Area - Cardona (Deep Water). Drilling plans for the Stone-operated
Cardona prospect (65% working interest) have progressed with long lead items
being ordered for the subsea tie-backs in anticipation of open water drilling
around the Pompano facility in late 2013/early 2014. The size of the Cardona
prospect area may necessitate several wells to test different targets.

Mississippi Canyon 983 - San Marcos (Deep Water). The deep water San Marcos
exploration well is currently scheduled to spud in the third quarter of 2013.
Stone currently holds a 25% working interest in the prospect, which is
operated by Apache. The well is estimated to take four months to drill.

Mississippi Canyon 555 – Guadalupe (Deep Water). The deep water Guadalupe
exploration well (previously called Tower Bridge by Stone) is currently
scheduled to spud in late 2013 or early 2014. Stone currently holds a 40%
working interest in the prospect, which is operated by Apache. The well is
estimated to take three months to drill.

Walker Ridge 719 – Phinisi (Deep Water). The deep water Phinisi exploration
well is now projected to spud in the fourth quarter of 2013 as the previous
rig schedule was adjusted. Stone currently holds a 20% working interest in
the prospect, which is operated by ENI. The well is estimated to take four
months to drill.

Appalachian Basin (Marcellus Shale). Stone drilled a total of 23 horizontal
Marcellus Shale wells and fractured 24 wells in 2012. During the fourth
quarter of 2012, Stone tied nine horizontal wells into the Williams midstream
pipeline from its Mary Field in West Virginia. Net production from the Mary
field increased to over 45 MMcf per day and 4,500 Bbl of liquids per day (over
70 MMcfe per day) in December prior to production being shut-in due to land
slips resulting from heavy precipitation. The land slips have been
stabilized, the pipeline has been repaired and the field is currently coming
back on line. Stone expects net Appalachian production to return to over 65
MMcfe per day during March 2013. Stone has drilled five horizontal wells and
fractured four wells to date in 2013.

Conventional Shelf - A rig has been secured for a two-to-four well
conventional shelf drilling program. The rig, expected to arrive in the
second quarter of 2013, will target oil prospects. Separately, Stone has
committed to an onshore rig to drill the Hyena prospect in the Clovelly field
in Lafourche Parish, Louisiana. Stone has also budgeted roughly $35 million
for recompletion and workover projects to access behind pipe reserves in
existing fields.

2013 Guidance

Guidance for the first quarter and full year 2013 is shown in the table below
(updated guidance numbers are italicized and bolded). The guidance is subject
to all the cautionary statements and limitations described below and under the
caption "Forward Looking Statements."

                                                              First    Full
                                                              Quarter  Year
Production - MBoe per day                                     38 – 40  40 – 43

 (MMcfe per day)                              (230 –   (240 –
                                                              240)     255)
Lease operating expenses (in millions)                                $205 -
                                                              -        $225
(excluding transportation/processing expenses)
Transportation, processing and gathering (in millions)                 $26 -
                                                                       $32
Salaries, General & Administrative expenses (in millions)     -        $55 -
                                                                       $60
(excluding incentive compensation)
                                                                       $19.50
Depreciation, Depletion & Amortization (per MBoe)             -        -
                                                                       $21.00
(per            $3.25 -
Mcfe)                                                                  $3.50
Corporate Tax Rate (%)                                        -        35% -
                                                                       37%
Capital Expenditure Budget (in millions)                      -        $650
(excluding acquisitions)

Hedge Position

The following table illustrates our derivative positions for 2013, 2014 and
2015 as of February 25, 2013:

     Fixed-Price Swaps
     NYMEX (except where noted)
     Natural Gas         Oil
     Daily               Daily
                 Swap               Swap
     Volume              Volume
                 Price              Price
     (MMBtus/d)          (Bbls/d)
2013 10,000      $4.000  1,000      $92.80
2013 10,000      5.270    2,000*   94.05
2013 10,000      5.320   1,000      94.45
2013                     1,000      94.60
2013                     1,000      97.15
2013                     1,000      101.53
2013                     1,000      103.00
2013                     1,000      103.15
2013                     1,000      104.25
2013                     1,000      104.47
2013                     1,000      104.50
2013                     1,000**  107.30
2014 10,000      4.000   1,000      90.06
2014 10,000      4.040   1,000      93.55
2014 10,000      4.105   1,000      94.00
2014 10,000      4.250   1,000      98.00
2014                     1,000      98.30
2014                     1,000      99.65
2014                      1,000**  103.30
2015 10,000      4.005   1,000      90.00
2015 10,000      4.220
2015 10,000      4.255

* January - June
**Brent oil contract

Annual Meeting Information

Stone Energy will hold its 2013 Annual Meeting of Stockholders on Thursday,
May 23, 2013, at 10:00 a.m. Central Time at the Windsor Court Hotel, 300
Gravier Street, New Orleans, Louisiana. The Company proposes to elect ten
directors, to ratify the appointment of Ernst & Young LLP as the Company's
independent public accounting firm for the fiscal year ending December 31,
2013, to have a non-binding advisory vote on the compensation of the named
executive officers (say on pay), and to transact such other business as may
properly come before the meeting. The close of business on March 25, 2013 has
been fixed as the record date for determination of stockholders entitled to
receive notification of and to vote at the Annual Meeting.

Other Information

Stone Energy has planned a conference call for 9:00 a.m. Central Time on
Tuesday, February 26, 2013 to discuss the operational and financial results
for the fourth quarter and full year 2012. Anyone wishing to participate
should visit our website at www.StoneEnergy.com for a live web cast or dial
1-877-228-3598 and request the "Stone Energy Call." If you are unable to
participate in the original conference call, a replay will be available
immediately following the completion of the call on Stone Energy's website.
The replay will be available for one month.

Non-GAAP Financial Measures

In this press release, we refer to a non-GAAP financial measure we call
"discretionary cash flow." Management believes discretionary cash flow is a
financial indicator of our company's ability to internally fund capital
expenditures and service debt. Management also believes this non-GAAP
financial measure of cash flow is useful information to investors because it
is widely used by professional research analysts in the valuation, comparison,
rating and investment recommendations of companies in the oil and gas
exploration and production industry. Discretionary cash flow should not be
considered an alternative to net cash provided by operating activities or net
income, as defined by GAAP. Please see the "Reconciliation of Non-GAAP
Financial Measure" for a reconciliation of discretionary cash flow to cash
flow provided by operating activities.

Forward Looking Statements

Certain statements in this press release are forward-looking and are based
upon Stone's current belief as to the outcome and timing of future events. All
statements, other than statements of historical facts, that address activities
that Stone plans, expects, believes, projects, estimates or anticipates will,
should or may occur in the future, including future production of oil and gas,
future capital expenditures and drilling of wells and future financial or
operating results are forward-looking statements. Important factors that
could cause actual results to differ materially from those in the
forward-looking statements herein include the timing and extent of changes in
commodity prices for oil and gas, operating risks, liquidity risks, political
and regulatory developments and legislation, including developments and
legislation relating to our operations in the Gulf of Mexico and Appalachia,
and other risk factors and known trends and uncertainties as described in
Stone's Annual Report on Form 10-K and Quarterly Reports on Form 10-Q as filed
with the SEC. Should one or more of these risks or uncertainties occur, or
should underlying assumptions prove incorrect, Stone's actual results and
plans could differ materially from those expressed in the forward-looking
statements.

Estimates for Stone's future production volumes are based on assumptions of
capital expenditure levels and the assumption that market demand and prices
for oil and gas will continue at levels that allow for economic production of
these products. The production, transportation and marketing of oil and gas
are subject to disruption due to transportation and processing availability,
mechanical failure, human error, hurricanes and numerous other factors.
Stone's estimates are based on certain other assumptions, such as well
performance, which may vary significantly from those assumed. Delays
experienced in well permitting could affect the timing of drilling and
production. Lease operating expenses, which include major maintenance costs,
vary in response to changes in prices of services and materials used in the
operation of our properties and the amount of maintenance activity required.
Estimates of DD&A rates can vary according to reserve additions, capital
expenditures, future development costs, and other factors. Therefore, we can
give no assurance that our future production volumes, lease operating expenses
or DD&A rates will be as estimated.

Stone Energy is an independent oil and natural gas exploration and production
company headquartered in Lafayette, Louisiana with additional offices in New
Orleans, Houston and Morgantown, West Virginia. Our business strategy is to
leverage cash flow generated from existing assets to maintain relatively
stable GOM shelf oil production, profitably grow gas reserves and production
in price-advantaged basins such as Appalachia and the Gulf Coast Basin, and
profitably grow oil reserves and production in material impact areas such as
the deep water GOM and onshore oil. For additional information, contact
Kenneth H. Beer, Chief Financial Officer, at 337-521-2210 phone, 337-521-9880
fax or via e-mail at CFO@StoneEnergy.com.

STONE ENERGY CORPORATION
SUMMARY STATISTICS
(In thousands, except per share/unit amounts)
(Unaudited)
                                  Three Months Ended    Twelve Months Ended

                                  December 31,          December 31,
                                  2012       2011       2012          2011
FINANCIAL RESULTS
 Net income                      $44,246    $45,523    $149,426      $194,332
 Net income per share            $0.89      $0.93      $3.03         $3.97
PRODUCTION QUANTITIES
 Oil (MBbls)                     1,846      1,623      7,135         6,427
 Gas (MMcf)                      11,538     9,441      42,569        38,466
 Natural gas liquids (MBbls)     369        77         1,163         506
 Oil, gas and NGLs (MBoe)        4,138      3,274      15,393        13,344
 Oil, gas and NGLs (MMcfe)       24,828     19,641     92,357        80,064
AVERAGE DAILY PRODUCTION
 Oil (MBbls)                     20         18         20            18
 Gas (MMcf)                      125        103        116           105
 Natural gas liquids (MBbls)     4          1          3             1
 Oil, gas and NGLs (MBoe)        45         36         42            37
 Oil, gas and NGLs (MMcfe)       270        214        252           219
REVENUE DATA
 Oil revenue                     $196,559   $179,170   $761,304      $663,958
 Gas revenue                     43,733     38,796     134,739       170,611
 Natural gas liquids revenue     13,270     4,706      48,498        29,996
 Total oil, gas and NGLs revenue $253,562   $222,672   $944,541      $864,565
AVERAGE PRICES
Prior to the cash settlement of
effective hedging transactions:
 Oil (per Bbl)                   $102.44    $114.48    $105.50       $108.40
 Gas (per Mcf)                   3.40       3.43       2.65          3.93
 Natural gas liquids (per Bbl)   35.96      61.12      41.70         59.28
 Oil, gas and NGLs (per Boe)     58.39      68.07      59.39         65.79
 Oil, gas and NGLs (per Mcfe)    9.73       11.35      9.90          10.96
Including the cash settlement of
effective hedging transactions:
 Oil (per Bbl)                   $106.48    $110.39    $106.70       $103.31
 Gas (per Mcf)                   3.79       4.11       3.17          4.44
 Natural gas liquids (per Bbl)   35.96      61.12      41.70         59.28
 Oil, gas and NGLs (per Boe)     61.28      68.01      61.36         64.79
 Oil, gas and NGLs (per Mcfe)    10.21      11.34      10.23         10.80
COST DATA
 Lease operating expenses        $57,973    $45,395    $215,003      $175,881
 Salaries, general and           14,127     10,675     54,648        40,169
administrative expenses
 DD&A expense on oil and gas     82,498     74,546     341,096       276,480
properties
AVERAGE COSTS (per Mcfe)
 Lease operating expenses (per   $14.01     $13.87     $13.97        $13.18
Boe)
 Lease operating expenses (per   2.33       2.31       2.33          2.20
Mcfe)
 Salaries, general and           3.41       3.26       3.55          3.01
administrative expenses (per Boe)
 Salaries, general and
administrative expenses (per      0.57       0.54       0.59          0.50
Mcfe)
 DD&A expense on oil and gas     19.94      22.77      22.16         20.72
properties (per Boe)
 DD&A expense on oil and gas     3.32       3.80       3.69          3.45
properties (per Mcfe)
AVERAGE SHARES OUTSTANDING –      48,412     48,100     48,361        48,030
Diluted



STONE ENERGY CORPORATION
CONSOLIDATED STATEMENT OF OPERATIONS
(In thousands)
(Unaudited)
                                       Three Months Ended  Twelve Months Ended

                                       December 31,        December 31,
                                       2012      2011      2012       2011
 Operating revenue:
 Oil production                 $196,559  $179,170  $761,304   $663,958
 Gas production                 43,733    38,796    134,739    170,611
 Natural gas liquids            13,270    4,706     48,498     29,996
production
 Other operational income       1,000     944       3,520      3,938
 Derivative income, net         309       -         3,428      1,418
 Total operating     254,871   223,616   951,489    869,921
revenue
 Operating expenses:
 Lease operating expenses       57,973    45,395    215,003    175,881
 Transportation, processing     5,871     1,647     21,782     8,958
and gathering
 Production taxes               2,437     2,552     10,015     9,380
 Depreciation, depletion and    83,383    75,243    344,365    280,020
amortization
 Accretion expense              8,405     7,630     33,331     30,764
 Salaries, general and          14,127    10,675    54,648     40,169
administrative expenses
 Incentive compensation         4,206     4,496     8,113      11,600
expense
 Derivative expenses, net       -         1,882     -          -
 Other operational expense      72        697       267        2,149
Total operating      176,474   150,217   687,524    558,921
expenses
Income from operations            78,397    73,399    263,965    311,000
Other (income) expenses:
 Interest expense               9,268     2,819     30,375     9,289
 Interest income                (373)     (250)     (600)      (420)
 Other income                   (576)     (443)     (1,805)    (1,942)
 Early debt retirement expense  1,972     -         1,972      607
 Other expense                  -         (501)     -          -
Total other          10,291    1,625     29,942     7,534
expenses
 Income before taxes              68,106    71,774    234,023    303,466
 Provision (benefit) for income
taxes:
 Current                        13,858    (5,343)   15,022     (20,386)
 Deferred                       10,002    31,594    69,575     129,520
 Total income taxes  23,860    26,251    84,597     109,134
Net income                        $44,246   $45,523   $149,426   $194,332



STONE ENERGY CORPORATION
RECONCILIATION OF NON-GAAP FINANCIAL MEASURE
(In thousands)
(Unaudited)
                                       Three Months Ended  Twelve Months Ended

                                       December 31,        December 31,
                                       2012      2011      2012       2011
Net income as reported                 $44,246   $45,523   $149,426   $194,332
Reconciling items:
Depreciation, depletion and            83,383    75,243    344,365    280,020
amortization
Deferred income tax provision          10,002    31,594    69,575     129,520
Accretion expense                      8,405     7,630     33,331     30,764
Stock compensation expense             1,899     1,413     8,699      5,905
Early extinguishment of debt           1,972     -         1,972      607
Non-cash interest expense              4,017     496       13,085     1,908
Other                                  (8)       1,878     (1,458)    (5,311)
Discretionary cash flow                153,916   163,777   618,995    637,745
Changes in income taxes payable        13,858    2,259     10,618     (19,451)
Settlement of asset retirement         (18,356)  (10,848)  (65,567)   (63,391)
obligations
Other working capital changes          (13,582)  27,249    (54,297)   15,947
Net cash provided by operating         $135,836  $182,437  $509,749   $570,850
activities



STONE ENERGY CORPORATION
CONSOLIDATED BALANCE SHEET
(In thousands)
(Unaudited)
                                                    December 31,  December 31,
                                                    2012          2011
Assets
Current assets:
 Cash and cash equivalents                  $279,526      $38,451
 Accounts receivable                        167,288       118,139
 Fair value of hedging contracts            39,655        25,177
 Current income tax receivable              10,027        19,946
 Deferred taxes                             15,514        26,072
 Inventory                                  4,207         4,643
 Other current assets                       3,626         791
Total current assets                  519,843       233,219
Oil and gas properties, full cost method of
accounting:
 Proved                                     7,244,466     6,648,168
 Less: accumulated depreciation, depletion  (5,510,166)   (5,174,729)
and amortization
 Net proved oil and gas properties          1,734,300     1,473,439
 Unevaluated                                447,795       401,609
Other property and equipment, net                   22,115        11,172
Fair value of hedging contracts                     9,199         22,543
Other assets, net                                   43,179        23,769
 Total assets                               $2,776,431    $2,165,751
Liabilities and Stockholders' Equity
Current liabilities:
 Accounts payable to vendors                $94,361       $102,946
 Undistributed oil and gas proceeds         23,414        27,328
 Accrued interest                           18,546        14,059
 Fair value of hedging contracts            149           11,122
 Asset retirement obligations               66,260        62,676
 Other current liabilities                  16,765        28,370
 Total current  liabilities           219,495       246,501
Bank debt                                           -             45,000
6¾% Senior Subordinated Notes due 2014              -             200,000
8⅝% Senior Notes due 2017                           375,000       375,000
7½% Senior Notes due 2022                           300,000       -
1¾% Convertible Notes                               239,126       -
Deferred taxes                                      310,830       247,835
Asset retirement obligations                        422,042       363,103
Fair value of hedging contracts                     1,530         815
Other long-term liabilities                         36,275        19,668
Total liabilities                           1,904,298     1,497,922
Common stock                                        484           481
Treasury stock                                      (860)         (860)
Additional paid-in capital                          1,386,475     1,338,565
Accumulated deficit                                 (542,799)     (692,225)
Accumulated other comprehensive income              28,833        21,868
 Total stockholders' equity                 872,133       667,829
 Total liabilities and stockholders'        $2,776,431    $2,165,751
equity

SOURCE Stone Energy Corporation

Website: http://www.stoneenergy.com