Bill Barrett Corporation Reports Second Quarter 2013 Results, Multiple Strong Well Results from DJ Basin & Powder River Basin

Bill Barrett Corporation Reports Second Quarter 2013 Results, Multiple Strong
      Well Results from DJ Basin & Powder River Basin Deep Oil Programs

PR Newswire

DENVER, Aug. 1, 2013

DENVER, Aug. 1, 2013 /PRNewswire/ --Bill Barrett Corporation (NYSE: BBG)
today reported second quarter 2013 results and announced operational updates
highlighted by:

  oOil, natural gas and natural gas liquids ("NGL") production of 21.4 Bcfe
  oOil production averaging 9,060 barrels per day, or 23% of production
  oAverage realized price of $6.56 per Mcfe, reflecting the benefit of
    growing oil volumes. Oil sales accounted for 47% of pre-hedge sales
    revenues
  oDiscretionary cash flow of $65.7 million, or $1.38 per diluted common
    share
  oBigger wells in the Northeast Wattenberg. Three new Niobrara 'B' wells in
    the Denver-Julesburg Basin ("DJ") averaged approximately 1,000 barrels of
    oil equivalent per day ("Boe/d") peak 24-hour initial production ("IP")
    rate and 517 Boe/d over 30-days, demonstrating increased rates with new
    completion and artificial lift technology
  oMore success in the Powder Deep Oil Program. Five new wells averaged 816
    Boe/d peak 24-hour IP rate and 516 Boe/d over 30-days, while wells are
    temporarily restricted awaiting tie-in to natural gas facilities

Chief Executive Officer and President Scot Woodall commented: "We are
encouraged with our strong and improving well results in the Northeast
Wattenberg. Our most recent wells, in which we applied larger fracture
stimulations and timely installed gas lift, are performing well. We are now
increasing our rig count to four rigs and plan by year-end to delineate our
40,000 acre position, test 80-acre spacing in the Niobrara 'B', and drill the
Niobrara 'C', Codell, and one extended reach lateral. We are excited about the
upside potential of this area, and we are focused on realizing the associated
value.

"Through the remainder of 2013, our operations focus will be redirected to the
Northeast Wattenberg, with the planned Uinta Oil drilling program nearly
completed for the year. Four rigs will be active in the Northeast Wattenberg
later this month, slightly delayed from original expectations. As a result,
our capital expenditure guidance for 2013 is reduced by $25 million at the
mid-point. In conjunction with the timing of well completions in the Northeast
Wattenberg as well as performance of certain wells in the Uinta Oil Program,
we are also reducing our production forecast for 2013 by 4% at the mid-point.
Of note, the production impact in the Uinta Oil Program stems from various
causes, including testing new completion concepts in the area that did not
meet expectations. The number of future drilling locations in the area is not
affected, and the area continues to be a major oil resource. We remain
committed to capital discipline and completing an asset divestiture as part of
our portfolio management program. This activity is well underway, and we are
confident that we are on track to complete a transaction by year-end.

"We expect the second half of 2013 to deliver positive, quantifiable results
in the Northeast Wattenberg, completion of an asset divestiture and oil
production exit rate of approximately 12 thousand barrels per day ("MBbls/d"),
positioning our Company for solid year-end oil reserve growth and 2014 cash
flow."

OPERATING AND FINANCIAL RESULTS

Oil, natural gas and NGL production totaled 21.4 billion cubic feet equivalent
("Bcfe") in the second quarter of 2013, based on three-stream reporting
adopted as of January 1, 2013. (Second quarter of 2013 production on a
comparable two-stream basis would have been 20.5 Bcfe.) Production is down
from 29.9 Bcfe reported in the second quarter of 2012 (reported on a
two-stream basis) primarily due to asset sales closed in the fourth quarter of
2012 and up slightly from 21.2 Bcfe reported in the first quarter of 2013.
Oil production of 9,060 Bbls/d in the second quarter of 2013 was up 30%
compared with the second quarter of 2012, including a 40% increase at the
Uinta Oil Program and a 55% increase in the DJ Basin, partially offset by the
oil production (condensate) sold in the fourth quarter of 2012 asset sale.

Realized pricing in the second quarter of 2013 was $6.56 per thousand cubic
feet equivalent ("Mcfe"), up 10% from the second quarter of 2012, reflecting
the significant growth in oil volumes year-over-year and benefited by $0.08
per Mcfe from realized hedges. The average realized prices by commodity for
the second quarter of 2013 were $82.11 per barrel ("Bbl") of oil, $3.92 per
Mcfe of natural gas and $46.38 per Bbl of NGLs (reflecting the Company's
election to reject ethane on the majority of its NGLs during the second
quarter.) (See "Selected Operating Highlights" below for more detail.)

The table below presents production volumes, sales volumes (see "Disclosure
Statements" below) and realized prices historically by quarter. 2013
production reflects the effects of the 2012 asset sale, the change to
three-stream reporting and the Company's election to reject ethane in the
Piceance Basin:

                                  2Q12     3Q12     4Q12     1Q13     2Q13
Reported Production Volumes
3-Stream:
 Oil (Bbls/d)                     N/A      N/A      N/A      8,827    9,060
 Natural gas (MMcf/d)             N/A      N/A      N/A      163      157
 NGLs ethane rejected (Bbls/d)    N/A      N/A      N/A      3,349    3,854
Reported Production Volumes
2-Stream:
 Oil (Bbls/d)                     6,972    7,766    9,315    N/A      N/A
 Natural gas, including NGLs      287      294      251      N/A      N/A
 (MMcf/d)
Sales* Volumes:
 Oil (Bbls/d)                     6,972    7,766    9,315    8,827    9,060
 Natural gas sold as dry gas      262      265      223      N/A      N/A
 (MMcf/d)
 NGLs (Bbls/d)                    11,439   10,341   8,687    N/A      N/A
Reported Realized Prices
 Oil (per Bbl)                    $ 84.86  $ 84.08  $ 83.84  $ 81.74  $ 82.11
 Natural gas sold as dry gas (per N/A      N/A      N/A      $  4.10 $  3.92
 Mcf)
 Natural gas including benefit of $  4.77 $  4.90 $  5.18 N/A      N/A
 NGL realizations (per Mcf)
 NGLs (per Bbl)                   N/A      N/A      N/A      $ 48.32  $ 46.38

* (see "Disclosure Statements" below)

Discretionary cash flow (a non-GAAP measure, see "Discretionary Cash Flow
Reconciliation" below) in the second quarter of 2013 was $65.7 million, or
$1.38 per diluted common share, down from $94.7 million in the second quarter
of 2012. The decline in discretionary cash flow in the second quarter of 2013
compared with the second quarter of 2012 was primarily due to lower production
(described above). Cash operating costs (lease operating expense, gathering
transportation and processing expense and production tax expense) per unit
were higher in the second quarter of 2013 at $2.00 compared with the second
quarter of 2012 at $1.73. Higher costs were partially offset by higher
realized prices, per Mcfe. For the first six months of 2013, discretionary
cash flow was $129.4 million compared with $193.6 million for the first six
months of 2012.

Net income in the second quarter of 2013 was $14.3 million, or $0.30 per
diluted common share, compared with net income of $3.3 million in the second
quarter of 2012. Net income in the quarter was affected by the same items that
affected discretionary cash flow (described above) and higher per unit
depreciation and depletion expense. Lower net income in the prior year quarter
was negatively affected by impairment and exploration charges. Adjusted net
income for the second quarter of 2013 (a non-GAAP measure, see "Adjusted Net
Income Reconciliation" below) was a loss of $9.1 million, or ($0.19) per
diluted common share, compared with a loss of $2.4 million, or ($0.05) per
diluted common share, in the second quarter of 2012. Adjusted net income
(loss) removes the effect of non-recurring charges such as unrealized
derivative gains and losses, impairment expenses, property sales and certain
one-time items. For the first six months of 2013, adjusted net income was a
loss of $21.3 million compared with income of $7.3 million for the first six
months of 2012.

DEBT AND LIQUIDITY

At June 30, 2013, the Company had total debt outstanding (principal balance)
of $1,248.4 million including $80.0 million drawn on its $825.0 million
revolving credit facility due 2016. Subsequent to June 30, 2013, the Company
redeemed its $250.0 million 9.875% Senior Notes and funded the redemption with
borrowings under the revolving credit facility, substantially reducing the
interest rate on this debt. Pro forma for this transaction (including the
redemption premium) and after deducting an outstanding letter of credit for
$26.0 million, borrowing capacity on the Company's revolving credit facility
at quarter-end was $456.7 million, and the Company has no term debt due before
2019.

OPERATIONS

Production, Wells Spud and Capital Expenditures

The following table lists production, wells spud and total capital
expenditures by basin for the three and six months ended June 30, 2013:

                 Three Months Ended June 30,     Six Months Ended June 30, 2013
                 2013
                 Average                         Average
                 Net Daily  Wells  Capital       Net Daily  Wells  Capital
Basin            Production Spud   Expenditures  Production Spud   Expenditures
                            Gross* $mm                      Gross* $mm
                 MMcfe                           MMcfe
Uinta:
 Uinta Oil    40         27     $  67       41         48     $  132
Program
 West         68         0      2             70         0      3
Tavaputs
Piceance         99         0      2             100        0      4
Denver-Julesberg 18         11     36            17         13     56
Powder River     10         1      12            7          5      42
Deep Oil & Other
Total            235        39     $ 119         235        66     $ 237

*Operated wells

Operating and Drilling Update

The Company anticipates drilling or participating in approximately 180
gross/100 net development wells in 2013, including participation in
approximately 40 gross non-operated wells. The Company's development program
will focus on growth in oil production and reserves at its established
development programs.

Denver-Julesburg Basin, Colorado and Wyoming

Northeast Wattenberg/DJ Basin – Second quarter net production averaged nearly
3,000 Boe/d. Today, the Company is providing results on three new wells, all
of which demonstrate higher rates as a result of improvement in completion
technology and changes in artificial lift. The three wells, drilled in the
northern portion of the position, had an average 24-hour peak IP rate of
approximately 1,000 Boe/d and an average 30-day rate of 517 Boe/d. The three
wells were drilled to approximately 6,300 feet vertical depth with approximate
4,000 foot laterals and were completed with 17 fracture stimulation stages.
The Company continues to refine drilling and completion technology and drive
cost optimizations in the area.

The Company will have four active rigs in the area by month-end to complete a
full year program that includes drilling approximately 65 gross/42 net
operated wells, of which approximately 50 gross operated wells should be
completed by year-end. The Company also anticipates participating in
approximately 25 non-operated wells. The 2013 drilling program will focus on
realizing value through development and delineation drilling on the Company's
approximate 40,000 net acre Northeast Wattenberg position, which lies in the
middle of industry activity in the area.

At June 30, 2013, the Company had an approximate 76% working interest in
production from 275 gross wells, including approximately 200 vertical wells
mostly acquired in DJ Basin property acquisitions.

Uinta Basin, Utah

Uinta Oil Program (Blacktail Ridge, Lake Canyon, East Bluebell and South
Altamont) –
Second quarter net production averaged 6,740 Boe/d. The Company plans to
operate one-to-two rigs in the area for the remainder of the year to complete
its planned full year program that includes approximately 65 gross/40 net
operated wells.

Current year production from the area is expected to be lower than original
plan primarily due to two causes. The Company applied various completion
techniques aimed at improving overall returns that did not meet expectations,
and performance of certain wells drilled late 2012 early 2013 statistically
underperformed the type curve. While these results affect production for 2013,
they do not adversely affect the drilling location inventory count.

Through the remainder of the year, the Company will continue its 2013 program
with one-to-two rigs in the East Bluebell/South Altamont areas where well
results are delivering strong returns. The Company continues to optimize
drilling and operating costs in this sizable program and is currently testing
a vertical 80-acre spacing pilot program in the Blacktail-Ridge area where
preliminary results to date have been encouraging.

At June 30, 2013, the Company had an approximate 70% working interest in
production from 272 gross wells. Depending upon elections to participate by
partners, the Company may have a lower working interest in its 2013 drilling
program. As of the end of the second quarter of 2013, the Company had
approximately 151,650 net acres (including acreage to be earned) in the
program.

West Tavaputs – Second quarter net production averaged 68 million cubic feet
equivalent per day (MMcfe/d). Drilling in the area remains suspended as the
Company focuses its operations plan on oil development. The Company has
retained an advisor to market this asset for possible sale.

At June 30, 2013, the Company had an approximate 97% working interest in
production from 302 gross wells.

Piceance Basin, Colorado

Gibson Gulch – Second quarter net production averaged 99 MMcfe/d. Drilling in
the area remains suspended as the Company focuses its operations plan on oil
development.

At June 30, 2013, the Company had an approximate 81% working interest in
production from 955 gross wells in its Gibson Gulch program.

Powder River Basin, Wyoming

Powder Deep Oil Program – Second quarter net production averaged approximately
1,500 Boe/d. The Company holds a 68,120 net acre position in the Powder River
Basin, a stacked oil play. The Company has drilled successful wells targeting
the Sussex, Shannon and Frontier formations. Other operators have drilled
successful wells on, or near, the Company's acreage which are productive in
the Turner and Parkman formations.

Today, the Company is providing very positive results on its operated 5-well
2013 program, which was completed in the first half of 2013. The five wells
had 24-hour peak IP rates averaging 816 Boe/d and 30-day rates averaging 516
Boe/d. Flow rates are restricted awaiting tie-in to regional natural gas
infrastructure. All of the wells in the 2013 program were drilled to the
Shannon formation between 8,500-8,800 feet vertical depth with 3,800-4,400
foot laterals and 17-18 fracture stimulation stages. These wells follow four
strong wells completed in 2012 to the Shannon, Sussex and Frontier formations.
The Company plans to participate in a number of non-operated wells through the
remainder of the year. The Company believes the Powder River Deep Oil Program
offers a new, growing oil position in a relatively low risk basin, yet it is
also considering this asset for possible sale.

At June 30, 2013, the Company had an approximate 42% working interest in
production from 95 gross wells.

Additional Financial Information

Commodity Hedges Update

It is the Company's strategy to hedge a portion of its production to reduce
the risks associated with unpredictable future commodity prices and to provide
predictability for a portion of cash flows in order to support the Company's
capital expenditure program.

For 2013 and 2014, the Company has hedges in place as outlined in the table
below. Swap positions for natural gas and NGLs are tied to regional sales
points and oil hedge positions are tied to WTI and include:

  oFor the second half of 2013, 30.9 Bcfe, or approximately 70% of
    production, at a weighted average price of $7.97 per Mcfe. Approximately
    75% of natural gas and oil production and 20% of NGL production/sales is
    hedged.
  oFor 2014, approximately 43.4 Bcfe at a weighted average blended price of
    $8.41 per Mcfe.

The following table summarizes hedge positions as of July 19, 2013:

        Natural Gas       NGLs*          Oil
                                            

        Volume   Price    Volume  Price  Volume  Price
                          Bbls/d
Period  MMBtu/d  $/MMBtu          $/Bbl  Bbls/d  $/Bbl
                          
3Q13    125.0    3.73     873     74.74  8,300   97.62
4Q13    123.4    3.72     873     74.74  8,300   97.62
1Q14    85.0     3.87     -       -      8,400   94.06
2Q14    85.0     3.87     -       -      8,400   94.06
3Q14    85.0     3.87     -       -      6,000   94.46
4Q14    78.4     3.85     -       -      6,000   94.46

*NGL volumes include propane, butanes and natural gasoline. No ethane volumes
are hedged.

2013 Guidance

The Company's updated 2013 guidance (please reference "Forward-Looking
Statements" below) is as follows. The Company may update guidance as business
conditions warrant:

  oCapital expenditures of $465 million to $485 million, narrowed and lowered
    by $25 million at the mid-point.
  oOil, natural gas and NGL production of 83 to 86 Bcfe, narrowed and lowered
    at the mid-point from 88 Bcfe. Oil production is expected to increase
    approximately 30% to 35% in 2013 over 2012, lowered from 50%+ growth.
  oLease operating costs of $64 million to $67 million, narrowed from $62
    million to $67 million and inclusive of one-time charges of $1.2 million
    associated with the West Tavaputs compressor fire.
  oGathering, transportation and processing costs of $65 million to $68
    million, unchanged.
  oGeneral and administrative expenses before non-cash stock-based
    compensation cost of $50 million to 54 million, unchanged.

SECOND QUARTER 2013 RESULTS Webcast and Conference Call

As previously announced, a webcast and conference call will be held tomorrow
morning to discuss second quarter 2013 results. Please join Bill Barrett
Corporation executive management at 11:00 a.m. Eastern time/9:00 a.m. Mountain
time on August 2, 2013 for the live webcast, accessed at
www.billbarrettcorp.com, or join by telephone by calling 866-515-2915
(617-399-5129 international callers) with passcode 74510286. The webcast will
remain available on the Company's website for approximately 30 days, and a
replay of the call will be available through August 9, 2013 at call-in number
888-286-8010 (617-801-6888 international) with passcode 45058698. The Company
also has tentatively scheduled its third quarter 2013 earnings conference call
for November 1, 2013, typically at 11:00 a.m. Eastern time/9:00 a.m. Mountain
time.

QUARTERLY REPORT ON FORM 10-Q

The Company plans to file tomorrow its Quarterly Report on Form 10-Q for the
quarter ended June 30, 2013. The Form 10-Q will be posted to the Company's
website at www.billbarrettcorp.com and found under "SEC Filings".

UPCOMING EVENTS

Updated investor presentations will be posted to the homepage of the Company's
website at www.billbarrettcorp.com for each event below. Webcast events will
also be accessible on the homepage of the Company's website:

Investor Conferences

Chief Executive Officer and President Scot Woodall will present at Enercom's
The Oil & Gas Conference at 1:20 p.m. Eastern time (11:20 a.m. Mountain time)
on Wednesday, August 14, 2013. The event will be webcast. The live and
archived webcast will be accessible on the Company's homepage at
www.billbarrettcorp.com. The Company will post an investor presentation to the
homepage of its website at 5:00 p.m. Mountain time on Monday, August 12, 2013.

Chief Executive Officer and President Scot Woodall will present at the
Barclays 2013 CEO Energy-Power Conference at 9:05 a.m. Eastern time on
Thursday, September 12, 2013. The event will be webcast. The live and archived
webcast will be accessible on the Company's homepage at
www.billbarrettcorp.com. The Company will post an investor presentation to the
homepage of its website at 5:00 p.m. Mountain time on Tuesday, September 10,
2013.

DISCLOSURE STATEMENTS

Natural Gas Liquids

Effective January 1, 2013, the Company began reporting its production volumes
on a three-stream basis, which separately reports NGLs extracted from the
natural gas stream and sold as a separate product. The NGL volumes identified
by our gas purchasers are converted to an oil equivalent, based on 42 gallons
per barrel and compared to overall gas equivalent production based on a 1
barrel to 6 Mcf ratio.

Calculation of Natural Gas Liquids as a Percent of Sales Volumes

Prior to January 1, 2013, the Company reported natural gas production based on
wellhead volumes and its natural gas revenue included the incremental revenue
benefit from third party purchasers and processors when the Company elected to
receive NGL values from certain volumes of natural gas. In order to provide a
metric that is comparable to three-stream reporting, the Company is providing
the percentage of total Company sales volumes by product including oil,
natural gas and NGL revenues received from our gas purchasers or processors
for certain historical time periods. The NGL volumes identified by our gas
purchasers or processors are converted to an oil equivalent based on 42
gallons per barrel and compared to overall gas equivalent production based on
a 1 barrel to 6 Mcf ratio.

Forward-Looking Statements

This press release contains forward-looking statements, including statements
regarding projected results and future events. In particular, the Company is
providing revised "2013 guidance", which contains projections for certain 2013
operational and financial metrics. These forward-looking statements are based
on management's judgment as of the date of this press release and include
certain risks and uncertainties. Please refer to the Company's Annual Report
on Form 10-K for the year ended December 31, 2012 filed with the SEC, and
other filings including our Current Reports on Form 8-K and Quarterly Reports
on Form 10-Q, for a list of certain risk factors that may affect these
forward-looking statements.

Actual results may differ materially from Company projections and other
forward-looking statements and can be affected by a variety of factors outside
the control of the Company including, among other things: oil, NGL and natural
gas price volatility; the ability to complete property sales or other
transactions; the ability to receive drilling and other permits and
rights-of-way in a timely manner; development drilling and testing results;
the potential for production decline rates to be greater than expected;
performance of acquired properties and newly drilled wells; costs and
availability of third party facilities for gathering, processing, refining and
transportation; regulatory approvals, including regulatory restrictions on
federal lands; legislative or regulatory changes, including initiatives
related to hydraulic fracturing; higher than expected costs and expenses,
including the availability and cost of services and materials; unexpected
future capital expenditures; economic and competitive conditions; the ability
to obtain industry partners to jointly explore certain prospects, and the
willingness and ability of those partners to meet capital obligations when
requested; declines in the values of our oil and gas properties resulting in
impairments; changes in estimates of proved reserves; compliance with
environmental and other regulations; derivative and hedging activities; risks
associated with operating in one major geographic area; the success of the
Company's risk management activities; title to properties; litigation;
environmental liabilities; and other factors discussed in the Company's
reports filed with the SEC. Bill Barrett Corporation encourages readers to
consider the risks and uncertainties associated with projections and other
forward-looking statements. In addition, the Company assumes no obligation to
publicly revise or update any forward-looking statements based on future
events or circumstances.

ABOUT BILL BARRETT CORPORATION

Bill Barrett Corporation (NYSE: BBG), headquartered in Denver, Colorado,
explores for and develops oil and natural gas in the Rocky Mountain region of
the United States. Additional information about the Company may be found on
its website www.billbarrettcorp.com.





BILL BARRETT CORPORATION
Selected Operating Highlights
(Unaudited)
                                       Three Months Ended     Six Months Ended
                                       June 30,               June 30,
                                       2013      2012         2013     2012
Production Data:
 Natural gas (MMcf)                    14,314    26,094       28,976   51,412
 Oil (MBbls)                           825       634          1,619    1,115
 NGLs (MBbls)                          351       N/A          652      N/A
 Combined volumes (MMcfe)              21,370    29,898       42,602   58,102
 Daily combined volumes (MMcfe/d)      235       329          235      319
Average Prices (before the
effects of realized hedges):
 Natural gas (per Mcf)                 $ 4.06    $ 3.40   (1) $ 3.89   $ 3.83
 Oil (per Bbl)                     (2) 78.99     78.89        78.86    83.62
 NGLs (per Bbl)                        43.12     N/A          44.87    N/A
 Combined (per Mcfe)                   6.48      4.64         6.33     5.00
Average Realized Prices (after
the effects of realized hedges):
 Natural gas (per Mcf)                 $ 3.92    $ 4.77   (1) $ 4.01   $ 5.11
 Oil (per Bbl)                     (2) 82.11     84.86        81.93    86.39
 NGLs (per Bbl)                        46.38     N/A          47.27    N/A
 Combined (per Mcfe)                   6.56      5.97         6.57     6.18
Average Costs (per Mcfe):
 Lease operating expense               $ 0.75    $ 0.64       $ 0.82   $ 0.65
 Gathering, transportation and     (2) 0.88      0.87         0.81     0.92
 processing expense
 Production tax expense                0.36      0.23         0.32     0.23
 Depreciation, depletion and           3.48      2.87         3.35     2.75
 amortization
 General and administrative
 expense, excluding non-cash       (3) 0.47      0.38         0.59     0.43
 stock-based compensation expense

(1) Natural gas average prices include the effect of NGL revenues for
    the 2012 period.
    Oil average prices for the six months ended June 30, 2013 include an
    approximate $5.30 per Bbl transportation deduct related to certain
    production within the Uinta Oil Program. Similarly, the three month
(2) periods ended March 31, 2013 and June 30, 2013 included a $5.50 and $5.20
    charge, respectively. These costs were previously included within
    gathering, transportation and processing expense. The effect on the
    average per unit oil price is approximately $2.00 per Bbl.
    This separate presentation is a non-GAAP (Generally Accepted Accounting
    Principal) measure. Management believes the separate presentation of the
    non-cash component of general and administrative expense is useful because
(3) the cash portion provides a better understanding of cash required for
    general and administrative expenses. Management also believes that this
    disclosure may allow for a more accurate comparison to the Company's
    peers, which may have higher or lower costs associated with stock-based
    grants.





BILL BARRETT CORPORATION
Consolidated Statements of Operations
(Unaudited)
                                  Three Months Ended    Six Months Ended
                                  June 30,              June 30,
                                  2013       2012       2013         2012
(in thousands, except per share
amounts)
Operating and Other
Revenues:
     Oil, gas and NGLs        (1) $ 140,380  $ 159,490  $ 274,785    $ 336,532
     Other                        1,919      862        5,791        2,996
     Total operating and          142,299    160,352    280,576      339,528
     other revenues
Operating Expenses:
     Lease operating              16,112     19,030     34,858       37,668
     Gathering,
     transportation and           18,772     25,862     34,360       53,214
     processing
     Production tax              7,781      6,892      13,732       13,099
     Exploration                  141        4,062      236          4,501
     Impairment, dry hole         1,182      21,075     8,283        21,639
     costs and abandonment
     Depreciation, depletion      74,307     85,942     142,745      160,025
     and amortization
     General and              (2) 10,047     11,314     25,195       25,114
     administrative
     Non-cash stock-based     (2) 3,226      3,722      8,660        8,362
     compensation
     Total operating              131,568    177,899    268,069      323,622
     expenses
Operating Income                  10,731     (17,547)   12,507       15,906
Other Income and Expense:
     Interest income and          32         113        71           1,676
     other income
     Interest expense             (24,726)   (23,912)   (49,268)     (45,502)
     Commodity derivative     (1) 36,839     47,024     6,988        91,771
     gain
     Total other income and       12,145     23,225     (42,209)     47,945
     expense
Income (Loss) before Income       22,876     5,678      (29,702)     63,851
Taxes
Provision for (Benefit from)      8,603      2,380      (10,824)     24,660
Income Taxes
Net Income (Loss)                 $         $        $            $ 
                                  14,273     3,298     (18,878)    39,191
Net Income (Loss) Per Common
Share
     Basic                        $       $       $          $   
                                  0.30      0.07      (0.40)      0.83
     Diluted                      $       $       $          $   
                                  0.30      0.07      (0.40)      0.83
Weighted Average Common Shares Outstanding
     Basic                        47,469     47,202     47,411       47,143
     Diluted                      47,616     47,245     47,411       47,335
     The table below summarizes the realized and unrealized gains and losses
(1)  the Company recognized related to its oil and natural gas derivative
     instruments for the periods indicated:
                                  Three Months Ended   Six Months Ended June
                                  June 30,             30,
                                  2013       2012       2013         2012
     Included in oil and gas
     production revenue:
     Certain realized gains       $       $        $         $  
     on hedges                    1,936      20,798     4,003        46,263
     Included in commodity
     derivative gain (loss):
     Realized gain (loss) on      
     derivatives not                         $        $         $  
     designated as cash flow      $      18,916     6,226        22,719
     hedges                       (227)
     Unrealized gain on
     derivatives not              37,066     28,108     762          69,052
     designated as cash flow
     hedges
                                                                    
      Total commodity           $        $  
     derivative gain (loss)       36,839     47,024     $          $  
                                                        6,988       91,771
     This separate presentation is a non-GAAP measure. Management believes the
     separate presentation of the non-cash component of general and
     administrative expense is useful because the cash portion provides a
(2)  better understanding of cash required for general and administrative
     expenses. Management also believes that this disclosure may allow for a
     more accurate comparison to the Company's peers, which may have higher or
     lower costs associated with stock-based grants.



BILL BARRETT CORPORATION
Consolidated Condensed Balance Sheets
(Unaudited)
                                                    As of        As of
                                                    June 30,     December 31,
                                                    2013         2012
(in thousands)
Assets:
                                                    $       $      
           Cash and cash equivalents                62,875          
                                                                 79,445
           Other current assets                (1)  120,349      148,894
           Property and equipment, net              2,698,054    2,611,337
           Other noncurrent assets             (1)  33,889       29,773
                                                    $          $      
                          Total assets              2,915,167    
                                                                 2,869,449
Liabilities and Stockholders' Equity:
                                                    $        $      
           Current liabilities          (1)  202,745        
                                                                 213,133
           Notes payable to bank                    80,000       -
           Capital lease                            83,868       88,519
           Senior notes                             1,043,652    1,042,791
           Convertible senior notes                 25,344       25,344
           Other long-term                     (1)  309,736      316,887
           liabilities
           Stockholders' equity                     1,169,822    1,182,775
                          Total liabilities and     $          $      
                          stockholders' equity      2,915,167    
                                                                 2,869,449
           At June 30, 2013, the estimated fair value of all of the Company's
           commodity derivative instruments was a net asset of $29.3 million,
(1)        comprised of: $19.6 million current assets, $9.8 million
           non-current assets and $0.1 million current liabilities. This
           amount will fluctuate quarterly based on estimated future commodity
           prices and the current hedge position.



BILL BARRETT CORPORATION
Consolidated Statements of Cash Flows
(Unaudited)
                           Three Months Ended         Six Months Ended
                           June 30,                   June 30,
                           2013          2012         2013         2012
(in thousands)
Operating Activities:
 Net income (loss)         $   14,273  $         $           $  
                                         3,298        (18,878)     39,191
 Adjustments to reconcile
 to net cash
  provided by
 operations:
   Depreciation,
   depletion and           74,307        85,942       142,745      160,025
   amortization
   Impairment, dry hole
   costs and abandonment   1,182         21,075       8,283        21,639
   expense
   Unrealized derivative   (37,066)      (28,108)     (762)        (69,052)
   gain
   Deferred income taxes   8,603         2,380        (10,824)     24,660
   Stock compensation and  3,219         4,318        9,289        7,640
   other non-cash charges
   Amortization of debt
   discounts and deferred  1,734         1,685        3,466        5,002
   financing costs
   Gain on sale of         (674)         -            (4,193)      -
   properties
   Change in assets and
   liabilities:
       Accounts            (2,729)       2,929        16,506       18,136
       receivable
       Prepayments and
       other current       767           (7,257)      1,585        (6,066)
       assets
       Accounts payable,
       accrued and other   (9,654)       3,581        (23,743)     (8,853)
       liabilities
       Amounts payable to
       oil & gas property  7,331         (2,106)      9,737        (5,383)
       owners
       Production taxes    (5,190)       (5,293)      (10,182)     (7,695)
       payable
   Net cash provided by    $   56,103  $          $ 123,029   $ 179,244
   operating activities                  82,444
Investing Activities:
 Additions to oil and gas
 properties, including     (101,328)     (229,901)    (216,652)    (460,059)
 acquisitions
 Additions of furniture,   (742)         (1,912)      (1,187)      (4,241)
 equipment and other
 Proceeds from sale of
 properties and other      (2,338)       246          4,086        134
 investing activities
   Net cash used in        $ (104,408)   $ (231,567)  $ (213,753)  $ (464,166)
   investing activities
Financing Activities:
 Proceeds from debt        55,000        75,000       80,000       525,000
 Principal payments on     (2,260)       -            (4,501)      (267,156)
 debt
 Deferred financing costs  (85)          (737)        (1,348)      (10,087)
 and other
 Proceeds from stock       3             -            3            668
 option exercises
   Net cash provided by    $   52,658  $          $          $ 248,425
   financing activities                  74,263       74,154
Increase (Decrease) in     4,353         (74,860)     (16,570)     (36,497)
Cash and Cash Equivalents
Beginning Cash and Cash    58,522        95,694       79,445       57,331
Equivalents
Ending Cash and Cash       $   62,875  $          $          $  
Equivalents                              20,834       62,875       20,834



BILL BARRETT CORPORATION
Reconciliation of Discretionary Cash Flow & Adjusted Net Income
(Unaudited)
Discretionary Cash Flow
Reconciliation
                               Three Months Ended         Six Months Ended
                               June 30,                   June 30,
                               2013          2012         2013       2012
(in thousands, except per
share amounts)
Net Income (Loss)              $ 14,273      $  3,298   $          $ 
                                                          (18,878)  39,191
Adjustments to reconcile to
discretionary cash flow:
    Depreciation, depletion    74,307        85,942       142,745    160,025
    and amortization
    Impairment, dry hole and   1,182         21,075       8,283      21,639
    abandonment expense
    Exploration expense        141           4,062        236        4,501
    Unrealized derivative      (37,066)      (28,108)     (762)      (69,052)
    gain
    Deferred income taxes      8,603         2,380        (10,824)   24,660
    Stock compensation and     3,219         4,318        9,289      7,640
    other non-cash charges
    Amortization of debt
    discounts and deferred     1,734         1,685        3,466      6,603
    financing costs
    Gain on extinguishment     -             -            -          (1,601)
    of debt
    Gain on sale of            (674)         -            (4,193)    -
    properties
Discretionary Cash Flow        $ 65,719      $ 94,652     $ 129,362  $ 193,606
    Per share, diluted         $   1.38   $   2.00  $       $   
                                                          2.73      4.09
    Per Mcfe                   $   3.08   $   3.17  $       $   
                                                          3.04      3.33
Adjusted Net Income (Loss)
Reconciliation
                               Three Months Ended         Six Months Ended
                               June 30,                   June 30,
                               2013          2012         2013       2012
(in thousands except per
share amounts)
Net Income (Loss)              $ 14,273      $  3,298   $          $ 
                                                          (18,878)  39,191
Adjustments to net income
(loss):
    Unrealized derivative      (37,066)      (28,108)     (762)      (69,052)
    gain
    Impairment expense         -             18,337       -          18,337
    Gain on sale of            (674)         -            (4,193)    -
    properties
    One time items:
     Expenses relating
    to compressor station      -             -            1,175      -
    fire
     Gain on              -             -            -          (1,601)
    extinguishment of debt
    Subtotal Adjustments       (37,740)      (9,771)      (3,780)    (52,316)
    Effective tax rate         38%           42%          36%        39%
    Tax effected               (23,399)      (5,667)      (2,419)    (31,913)
    adjustments
Adjusted Net Income (Loss)     $ (9,126)    $ (2,369)   $          $  
                                                          (21,297)  7,278
    Per share, diluted         $  (0.19)   $  (0.05)  $        $   
                                                          (0.45)    0.15
    Per Mcfe                   $  (0.43)   $  (0.08)  $        $   
                                                          (0.50)    0.13
Discretionary cash flow and adjusted net income are non-GAAP measures. These
measures are presented because management believes that they provide useful
additional information to investors for analysis of the Company's ability to
internally generate funds for exploration, development and acquisitions as
well as adjusting net income (loss) for unusual items to allow for a more
consistent comparison from period to period. In addition, the Company believes
that these measures are widely used by professional research analysts and
others in the valuation, comparison and investment recommendations of
companies in the oil and gas exploration and production industry, and that
many investors use the published research of industry research analysts in
making investment decisions.
These measures should not be considered in isolation or as a substitute for
net income, income from operations, net cash provided by operating activities
or other income, profitability, cash flow or liquidity measures prepared in
accordance with GAAP. Because discretionary cash flow and adjusted net income
exclude some, but not necessarily all, items that affect net income (loss) and
may vary among companies, the amounts presented may not be comparable to
similarly titled measures of other companies.



SOURCE Bill Barrett Corporation

Website: http://www.billbarrettcorp.com
Contact: Jennifer Martin, Vice President of Investor Relations, 303-312-8155