Bill Barrett Corporation Reports 2013 Financial and Operating Results Including Discretionary Cash Flow of $281 million or $5.92

    Bill Barrett Corporation Reports 2013 Financial and Operating Results
     Including Discretionary Cash Flow of $281 million or $5.92 per Share

PR Newswire

DENVER, Feb. 20, 2014

DENVER, Feb. 20, 2014 /PRNewswire/ -- Bill Barrett Corporation (NYSE: BBG)
today reported 2013 results and announced operational updates including:

  oDiscretionary cash flow of $281.3 million or $5.92 per diluted common
    share
  o30% growth in oil production, total production of 14.5 MMBoe
  o88% growth in proved reserves at three active oil programs, driven
    primarily by success of the 2013 DJ Basin delineation program
  oLower total debt by $189 million year-end 2013 from year-end 2012

Chief Executive Officer Scot Woodall commented: "In 2013, we delivered on our
key operating and financial objectives. We ended 2013 having achieved a
commodity balanced portfolio, successfully delineated 70% of our net Northeast
Wattenberg position, substantially increased proved oil reserves and reduced
our long-term debt by $189 million. In combination, these achievements
position our company for growth in oil production and cash flow in 2014 and
forward.

"In the DJ Basin, we tested a number of concepts in combination with
delineating the majority of our position and will expand our program there in
2014. Well results in the area to date have been as projected, accounting for
the variability expected in a delineation program. We plan to invest
approximately 75% of the 2014 capital budget in the DJ with a three-rig
program. Drilling will be focused on all three portions of our DJ Basin
acreage and includes predominantly pad (multi-well) drilling. We will also
drill a number of extended reach laterals. In the East Bluebell area of the
Uinta Oil Program, we remain very pleased with the strong returns and will
continue with one-two rigs in that area during 2014.

"In 2014, we will continue to build value through the development of our core
oil programs. Our commodity balanced portfolio is expected to deliver higher
margins as we grow production in 2014 and beyond."

OPERATING AND FINANCIAL RESULTS

Total estimated proved reserves at year-end 2013 were 197 million barrels of
oil equivalent ("MMBoe"). Estimated proved reserves were 42% oil, 18% natural
gas liquids ("NGLs") and 40% natural gas and were 42% developed and 58%
undeveloped. Based on adjusted costs incurred (a non-GAAP measure, see "Costs
Incurred and Reserve Information" schedule below) of $472.1 million, estimated
reserve additions were made at an average cost of $8.30 per Boe.

Oil and natural gas production totaled 14.5 MMBoe in 2013 compared with 19.6
MMBoe in 2012. Oil production increased 30% to 3.5 million barrels ("MMBbls")
from 2.7 MMBbls in 2012. Growth in oil production was more than offset by
declines in natural gas production as a result of asset sales and natural
production declines as the Company did not drill during 2013 at its natural
gas programs. Fourth quarter production was 3.3 MMBoe, down from 4.7 MMBoe in
the fourth quarter of 2012. 2013 exit rate production was 40% oil, adjusted
for the sale of West Tavaputs and a reduced working interest in Gibson Gulch
in the Piceance Basin.

Realized pricing, including the effects of the Company's hedging activities,
was $82.38 per barrel of oil, $4.16 per thousand cubic feet ("Mcf") of natural
gas and $28.31 per barrel of NGLs. The average benefit of hedge activity was
$0.88 per Boe. While average realized prices were lower in 2013 compared with
2012, the Company realized increased revenue per unit in 2013 due to a higher
proportion of oil sales versus natural gas sales. The fourth quarter of 2013
average realized prices were $82.05 per barrel of oil, $4.42 per Mcf of
natural gas and $29.79 per barrel of NGLs. (See "Selected Operating
Highlights" below for more detail.)

Discretionary cash flow (a non-GAAP measure, see "Discretionary Cash Flow
Reconciliation" below) for 2013 was $281.3 million, or $5.92 per diluted
common share, down from $402.9 million, or $8.51 per diluted common share, in
2012. The decline in discretionary cash flow is primarily due to a 26% decline
in production volumes, as the Company sold assets and transitioned from a
natural gas to oil focused operating program. Discretionary cash flow was
$77.1 million for the fourth quarter of 2013 compared with $103.5 million for
the fourth quarter of 2012.

The Company had a net loss in 2013 of $192.7 million, or ($4.06) per diluted
common share, down from net income of $0.6 million, or $0.01 per diluted
common share, in 2012. Net income in 2013 was affected by the same reduction
in production as discretionary cash flow, as well as impairment, dry hole and
abandonment expenses of $238.4 million primarily related to the sale of its
West Tavaputs natural gas assets. The Company had a net loss in the fourth
quarter of 2013 of $7.2 million compared with net income of $14.0 million in
the fourth quarter of 2012. The fourth quarter of 2013 net loss included $10.8
million of impairment, dry hole and abandonment expenses and a $3.0 million
loss on property sales.

Adjusted net income (a non-GAAP measure, see "Adjusted Net Income
Reconciliation" below) for 2013 was a loss of $20.5 million, or ($0.43) per
diluted common share, compared with adjusted net income of $6.9 million, or
$0.15 per diluted common share, in 2012. Adjusted net income for the fourth
quarter of 2013 was $5.2 million compared with $9.6 million in 2012. Adjusted
net income removes the effect of non-recurring charges such as unrealized
derivative gains and losses, impairment expenses, property sales and one-time
items.

On December 10, 2013, the Company closed on the sale of the West Tavaputs
natural gas property located in the Uinta Basin, Utah for a transaction value
of $369 million. The transaction value was adjusted to the August 1, 2013
effective date and for other customary closing adjustments, providing net cash
proceeds to the Company of $309 million plus the buyer's assumption of lease
financing obligations associated with the property of approximately $46
million. Net cash proceeds from the transaction were applied to pay down the
Company's revolving credit facility.

DEBT AND LIQUIDITY

At December 31, 2013, the Company had borrowing capacity of $484 million and
total debt outstanding of $984 million. The Company had $115 million drawn on
its revolving credit facility. The facility has a borrowing base of $625
million less an outstanding letter of credit for $26 million. Debt outstanding
included $25 million of convertible senior notes, $400 million in 7.625%
senior notes, $400 million in 7.000% senior notes and $43 million for a lease
financing obligation. The Company has no significant debt maturity before
2016.

OPERATIONS

Production and Capital Expenditures

The following table lists average daily production and capital expenditures by
basin for the three and twelve months ended December 31, 2013:

                       Average Net Production        Capital Expenditures
                       (Boe/d)                       ($millions)
                       Three          Twelve         Three         Twelve
                       Months         Months         Months        Months
                       Ended          Ended          Ended         Ended
                       December       December       December      December
                       31, 2013       31, 2013       31, 2013      31, 2013
Basin
Uinta:
     Uinta Oil         7,305          7,239          11            204
     Program
     West Tavaputs*    6,816          9,998          -             -
Piceance               15,390         17,627         -             4
Denver-Julesburg       5,126          3,530          90            210
Powder Deep Oil &      1,525          1,264          10            56
Other
Total                  36,163         39,658         111           474

*West Tavaputs daily production averaged 8,832 Boe/d for the fourth quarter as
adjusted to reflect closing date of sale of December 10, 2013

Operating and Drilling Update

As previously announced, the Company's 2014 capital budget is estimated at
$500 million-$550 million and will be allocated approximately 75% to the DJ
Basin, 15%-20% to the Uinta Oil Program and 5%-10% to non-operated drilling in
the Powder River Basin. The capital budget anticipates drilling or
participating in approximately 200 gross/100 net development wells, including
approximately 85 gross non-operated wells, and includes on average three
active rigs in the DJ Basin and two in the Uinta Basin.

In the DJ Basin, at December 31, 2013, the Company had an approximate 55%
working interest in production from 324 gross wells. DJ Basin production
increased 112% and proved reserves increased 355% in 2013 from 2012. In 2014,
the Company plans to drill and complete approximately 85 gross operated and
participate in approximately 45 non-operated wells. The working interests for
the operated wells in the 2014 program are expected to average 70%. As of
year-end 2013, the Company had approximately 76,000 net acres in the program,
including approximately 40,500 net acres in the Northeast Wattenberg where the
Company plans to concentrate its 2014 drilling program.

In the Uinta Basin, at December 31, 2013, the Company had an approximate 61%
working interest in production from 299 gross wells. Uinta Oil Program
production increased 38% and proved reserves increased 11% in 2013 from 2012.
In 2014, the Company plans to drill and complete approximately 35 gross
operated wells with an expected 59% (or higher depending upon partner
elections) working interest. As of year-end 2013, the Company had
approximately 154,000 net acres (including acreage to be earned) in the
program.

In the Powder River Basin, the Company drilled and completed five wells in
2013. Powder Deep Oil Program production increased 258% and reserves increased
52% in 2013 from 2012. In 2014, the Company plans to allocate approximately 5%
- 10% of its planned capital expenditures to the Powder River Deep Oil Program
by participating in drilling approximately 15 non-operated wells in the area.

ADDITIONAL FINANCIAL INFORMATION

Guidance

As previously reported, the Company's 2014 guidance (please reference
"Forward-Looking Statements" below) is as follows:

The Company may update the following guidance as business conditions warrant:

  oCapital expenditures of $500 million - $550 million.
  oProduction of 11.0 million -12.2 million Boe.
  oLease operating costs of $62 million - $67 million.
  oGathering, transportation and processing costs of $43 million - $48
    million.
  oGeneral and administrative expenses, before non-cash stock-based
    compensation costs, of $48 million - $52 million.

2013 RESULTS WEBCAST AND CONFERENCE CALL

As previously announced, a webcast and conference call will be held tomorrow,
February 21, 2014, to discuss 2013 results. Please join Bill Barrett
Corporation executive management at 11:00 a.m. Eastern time/9:00 a.m. Mountain
time for the live webcast, accessed at www.billbarrettcorp.com, or join by
telephone by calling 866-713-8563 (617-597-5311 inter-national callers) with
passcode 54178378. The webcast will remain available on the Company's website
for approximately 30 days, and a replay of the call will be available through
February 28, 2014 at call-in number 888-286-8010 (617-801-6888 international)
with passcode 62359572.

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 Financial Officer Bob Howard will participate in investor meetings at
the Simmons Fourteenth Annual Energy Conference on February 28, 2014. The
presentation for this event will be posted at 5:00 p.m. Mountain time on
Thursday, February 27, 2014.

Chief Executive Officer Scot Woodall will present at the 42nd Annual Howard
Weil Energy Conference on March 24, 2014 at 4:35 p.m. Central time. The event
will not be webcast. The presentation for this event will be posted at 5:00
p.m. Mountain time on Friday, March 21, 2014.

DISCLOSURE STATEMENTS

Presentation of Natural Gas Liquids Volumes

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 distinct product.

2013 year-end reserves are presented on a three-stream basis, and year-end
2012 reserves are recalculated to reflect three-stream volumes for
comparability. NGL volumes 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.

Reserve and Resource Disclosure

The SEC permits oil and gas companies to disclose proved, probable and
possible reserves in their filings with the SEC. The Company does not plan to
include probable and possible reserve estimates in its filings with the SEC.

We may use certain terms, such as "risked resources," that the SEC's
guidelines strictly prohibit us from including in filings with the SEC. While
not referenced in this release, it may be referenced in the earnings
conference call following this release. The calculation of risked resources,
and any other estimates of reserves and resources that are not proved,
probable or possible reserves are not necessarily calculated in accordance
with SEC guidelines. Our estimate of risked resources is not prepared or
reviewed by third party engineers, is determined using strip pricing, which we
use internally for planning and budgeting purposes, and may differ from an
un-risked estimate of proved, probable and possible reserves. The Company's
estimate of risked resources is provided in this release because management
believes it is useful, additional information that is widely used by the
investment community in the valuation, comparison and analysis of companies;
however, the Company's estimate of risked resources may not be comparable to
similar metrics provided by other companies. Investors are urged to consider
closely the disclosure in our Annual Report on Form 10-K for the year ended
December 31, 2013, available on the Company's website at
www.billbarrettcorp.com or from the corporate offices at 1099 18th Street,
Suite 2300, Denver, CO 80202. You can also obtain this form from the SEC by
calling 1-800-SEC-0330 or at www.sec.gov.

Finding and Development Costs

Finding and development cost is a non-GAAP metric commonly used in the
exploration and production industry. Calculations presented by the Company are
based on costs incurred, as adjusted by the Company, divided by reserve
additions and are unaudited.

Forward-Looking Statements

This press release contains forward-looking statements. Forward-looking
statements include statements as to the Company's future plans, estimates,
beliefs and expected performance. These forward-looking statements are
identified by their use of terms and phrases such as "may," "expect,"
"estimate," "project," "plan," "believe," "intend," "achievable,"
"anticipate," "will," "continue," "potential," "should," "could," "guidance"
and similar terms and phrases. Forward-looking statements are dependent upon
events, risks and uncertainties that may be outside the Company's control. Our
actual results could differ materially from those discussed in these
forward-looking statements. In particular, the Company is providing "2014
Operating Guidance," which contains projections for certain 2014 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. Among a number of factors, operations plans are
subject to change during the year and such changes can materially affect
projected results provided in the Company's guidance. Please refer to the
Company's Annual Report on Form 10-K for the year ended December 31, 2013
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 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, including
regional price differentials; costs, availability and timing of build-out of
third party facilities for gathering, processing, refining and transportation;
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; legislative or
regulatory changes, including initiatives related to hydraulic fracturing;
regulatory approvals, including regulatory restrictions on federal lands;
exploration risks such as drilling unsuccessful wells; higher than expected
costs and expenses, including the availability and cost of services and
materials; unexpected future capital expenditures; economic and competitive
conditions; debt and equity market conditions, including the availability and
costs of financing to fund the Company's operations; 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
and to not place undue reliance on any such 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,
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  Twelve Months Ended
                                      December 31,        December 31,
                                      2013      2012      2013      2012
Production Data:
 Oil (MBbls)                          967       857       3,495     2,687
 Natural gas (MMcf)                   10,723    23,070    52,685    101,486
 NGLs (MBbls)                         573       N/A       2,199     N/A
 Combined volumes (MBoe)              3,327     4,702     14,475    19,601
 Daily combined volumes (Boe/d)       36,163    51,109    39,658    53,701
Average Prices (before the
effects of realized hedges):
 Oil (per Bbl)                    (1) $ 81.56   $ 75.03   $ 82.61   $ 79.39
 Natural gas (per Mcf)            (2) 4.14      4.56      3.96      4.00
 NGLs (per Bbl)                       28.96     N/A       27.02     N/A
 Combined (per Boe)                   42.04     36.06     38.47     31.60
Average Realized Prices (after
the effects of realized hedges):
 Oil (per Bbl)                    (1) $ 82.05   $ 83.84   $ 82.38   $ 84.96
 Natural gas (per Mcf)            (2) 4.42      5.18      4.16      5.07
 NGLs (per Bbl)                       29.79     N/A       28.31     N/A
 Combined (per Boe)                   43.21     40.70     39.35     37.90
Average Costs (per Boe):
 Lease operating expense              $ 5.13    $ 3.84    $ 4.85    $ 3.71
 Gathering, transportation and    (1) 4.97      5.66      4.65      5.44
 processing expense
 Production tax expense               1.58      0.92      1.88      1.30
 Depreciation, depletion and      (3) 19.53     19.89     19.33     17.49
 amortization
 General and administrative
 expense, excluding non-cash      (4) 3.84      2.81      3.39      2.66
 stock-based compensation expense

    Oil average prices for the year ended December 31, 2013 include an
    approximate $5.30 per Bbl transportation deduct related to certain
(1) production within the Uinta Oil Program. These costs were previously
    included within gathering, transportation and processing expense. The
    effect on the average per unit oil price is approximately $1.86 per Bbl.
(2) Natural gas average prices include the effect of NGL revenues for the 2012
    period.
    The calculation of the per unit DD&A rate for the 2012 periods is adjusted
(3) to reflect the fourth quarter 2012 asset sale. The assets were excluded
    from the overall corporate depletion pool, and the per unit calculation
    adjusts the production accordingly.
    This separate presentation is a non-GAAP (Generally Accepted Accounting
    Principles) measure. Management believes the separate presentation of the
    non-cash component of general and administrative expense is useful because
(4) 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    Twelve Months Ended
                                  December 31,          December 31,
                                  2013       2012       2013         2012
(in thousands, except per
share amounts)
Operating and Other Revenues:
  Oil, gas and NGLs           (1) $ 141,425  $ 184,083  $ 565,555    $ 700,639
  Other                           (2,463)    (4,282)    2,538        (444)
  Total operating and other       138,962    179,801    568,093      700,195
  revenues
Operating Expenses:
  Lease operating                 17,079     18,063     70,217       72,734
  Gathering, transportation       16,535     26,609     67,269       106,548
  and processing
  Production tax                  5,257      4,320      27,172       25,513
  Exploration                     125        751        337          8,814
  Impairment, dry hole costs      10,752     7,690      238,398      67,869
  and abandonment
  Depreciation, depletion and     64,983     75,425     279,775      326,842
  amortization
  General and administrative  (2) 12,791     13,196     49,069       52,222
  Non-cash stock-based        (2) 3,854      4,029      15,833       16,444
  compensation
  Total operating expenses        131,376    150,083    748,070      676,986
Operating Income                  7,586      29,718     (179,977)    23,209
Other Income and Expense:
  Interest income and other       1,523      27         1,646        155
  income
  Interest expense                (19,161)   (25,477)   (88,507)     (95,506)
  Commodity derivative gain   (1) (4,461)    19,328     (23,068)     72,759
  (loss)
  Gain (loss) on                  -          -          (21,460)     1,601
  extinguishment of debt
  Total other income and          (22,099)   (6,122)    (131,389)    (20,991)
  expense
Income (Loss) before Income       (14,513)   23,596     (311,366)    2,218
Taxes
Provision for (Benefit from)      (7,314)    9,579      (118,633)    1,636
Income Taxes
Net Income (Loss)                 $ (7,199)  $ 14,017   $ (192,733)  $ 582
Net Income (Loss) Per Common
Share
  Basic                           $ (0.15)   $ 0.30     $ (4.06)     $ 0.01
  Diluted                         $ (0.15)   $ 0.30     $ (4.06)     $ 0.01
Weighted Average Common
Shares Outstanding
  Basic                           47,626     47,260     47,497       47,195
  Diluted                         47,626     47,358     47,497       47,354

    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       Twelve Months Ended

                              December 31,             December 31,
                              2013         2012        2013          2012
    Included in oil and gas
    production revenue:
    Certain realized gains    $ 1,561      $ 14,514    $ 7,463       $ 81,166
    on hedges
    Included in commodity
    derivative gain (loss):
    Realized gain on
    derivatives not           $ 2,344      $ 7,291     $ 5,315       $ 42,305
    designated as cash flow
    hedges
    Unrealized gain on
    derivatives not           (6,805)      12,037      (28,383)      30,454
    designated as cash flow
    hedges
    Total commodity           $ (4,461)    $ 19,328    $ (23,068)    $ 72,759
    derivative gain (loss)

    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
                                          December 31, 2013  December 31, 2012
(in thousands)
Assets:
 Cash and cash equivalents                $ 54,595           $ 79,445
 Other current assets                 (1) 102,652            148,894
 Property and equipment, net              2,202,496          2,611,337
 Other noncurrent assets              (1) 21,770             29,773
  Total assets                            $ 2,381,513        $ 2,869,449
Liabilities and Stockholders' Equity:
 Current liabilities                  (1) $ 192,719          $ 213,133
 Notes payable to bank                    115,000            -
 Capitalized lease obligation             38,738             88,519
 Senior notes                             800,000            1,042,791
 Convertible senior notes                 25,344             25,344
 Other long-term liabilities          (1) 203,994            316,887
 Stockholders' equity                     1,005,718          1,182,775
  Total liabilities and stockholders'     $ 2,381,513        $ 2,869,449
  equity

    At December 31, 2013, the estimated fair value of all of the Company's
    commodity derivative instruments was a net liability of $3.3 million,
(1) comprised of: $0.2 million current assets, $2.5 million non-current assets
    and $6.0 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        Twelve Months Ended
                            December 31,              December 31,
                            2013         2012         2013         2012
(in thousands)
Operating Activities:
 Net income (loss)          $ (7,199)    $ 14,017     $ (192,733)  $ 582
 Adjustments to reconcile
 to net cash provided by
 operations:
  Depreciation, depletion   64,983       75,425       279,775      326,842
  and amortization
  Impairment, dry hole
  costs and abandonment     10,752       7,690        238,398      67,869
  expense
  Total derivative          6,805        (12,037)     28,383       (30,454)
  (gain)/loss
  Deferred income taxes     (7,014)      7,484        (117,050)    (185)
  Stock compensation and    4,605        4,047        17,286       18,296
  other non-cash charges
  Amortization of debt
  discounts and deferred    1,069        1,715        5,604        8,425
  financing costs
  (Gain) loss on            -            -            21,460       (1,601)
  extinguishment of debt
  (Gain) loss on sale of    2,972        4,387        (130)        4,279
  properties
  Change in assets and
  liabilities:
      Accounts receivable   1,951        (14,986)     14,294       (10,511)
      Prepayments and       (81)         (222)        1,394        1,293
      other current assets
      Accounts payable,
      accrued and other     (10,799)     7,402        (35,600)     2,589
      liabilities
      Amounts payable to
      oil & gas property    3,487        3,421        9,997        3,988
      owners
      Production taxes      (2,568)      (510)        (5,813)      (2,976)
      payable
  Net cash provided by      $ 68,963     $ 97,833     $ 265,265    $ 388,436
  operating activities
Investing Activities:
 Additions to oil and gas
 properties, including      (109,882)    (207,109)    (445,479)    (958,654)
 acquisitions
 Additions of furniture,    (748)        (1,712)      (2,254)      (7,231)
 equipment and other
 Proceeds from sale of
 properties and other       309,920      328,797      310,704      328,888
 investing activities
  Net cash provided by
  (used in) investing       $ 199,290    $ 119,976    $ (137,029)  $ (636,997)
  activities
Financing Activities:
 Proceeds from debt         30,000       90,000       420,000      875,826
 Principal payments on      (307,297)    (252,223)    (576,422)    (595,386)
 debt
 Deferred financing costs   (1,623)      (74)         (3,049)      (10,438)
 and other
 Proceeds from sale of
 common and preferred       4,732        -            6,385        673
 stock
  Net cash provided by
  (used in) financing       $ (274,188)  $ (162,297)  $ (153,086)  $ 270,675
  activities
Increase (Decrease) in      (5,935)      55,512       (24,850)     22,114
Cash and Cash Equivalents
Beginning Cash and Cash     60,530       23,933       79,445       57,331
Equivalents
Ending Cash and Cash        $ 54,595     $ 79,445     $ 54,595     $ 79,445
Equivalents

BILL BARRETT CORPORATION
Reconciliation of Discretionary Cash Flow & Adjusted Net Income
(Unaudited)
Discretionary Cash Flow
Reconciliation
                                  Three Months Ended    Twelve Months Ended
                                  December 31,          December 31,
                                  2013       2012       2013         2012
(in thousands, except per share
amounts)
Net Income (Loss)                 $ (7,199)  $ 14,017   $ (192,733)  $ 582
Adjustments to reconcile to
discretionary cash flow:
 Depreciation, depletion and      64,983     75,425     279,775      326,842
 amortization
 Impairment, dry hole and         10,752     7,690      238,398      67,869
 abandonment expense
 Exploration expense              125        751        337          8,814
 Unrealized derivative (gain)     6,805      (12,037)   28,383       (30,454)
 loss
 Deferred income taxes            (7,014)    7,484      (117,050)    (185)
 Stock compensation and other     4,605      4,047      17,286       18,296
 non-cash charges
 Amortization of debt discounts   1,069      1,715      5,604        8,425
 and deferred financing costs
 (Gain) loss on extinguishment    -          -          21,460       (1,601)
 of debt
 (Gain) loss on sale of           2,972      4,387      (130)        4,279
 properties
Discretionary Cash Flow           $ 77,098   $ 103,479  $ 281,330    $ 402,867
 Per share, diluted               $ 1.62     $ 2.19     $ 5.92       $ 8.51
 Per Boe                          $ 23.17    $ 22.01    $ 19.44      $ 20.55
Adjusted Net Income (Loss)
Reconciliation
                                  Three Months Ended    Twelve Months Ended
                                  December 31,          December 31,
                                  2013       2012       2013         2012
(in thousands except per share
amounts)
Net Income (Loss)                 $ (7,199)  $ 14,017   $ (192,733)  $ 582
Adjustments to net income
(loss):
 Unrealized derivative (gain)     6,805      (12,037)   28,383       (30,454)
 loss
 Impairment expense               9,987      239        226,551      37,348
 (Gain) loss on sale of           2,972      4,387      (130)        4,279
 properties
 One time items:
      Expenses relating to        215        -          1,582        -
      compressor station fire
      (Gain) loss on              -          -          21,460       (1,601)
      extinguishment of debt
 Subtotal Adjustments             19,979     (7,411)    277,846      9,572
 Effective tax rate               38%        41%        38%          34%
 Tax effected adjustments         12,387     (4,372)    172,265      6,327
Adjusted Net Income (Loss)        $ 5,188    $ 9,645    $ (20,468)   $ 6,909
 Per share, diluted               $ 0.11     $ 0.20     $ (0.43)     $ 0.15
 Per Boe                          $ 1.56     $ 2.05     $ (1.41)     $ 0.35

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.

BILL BARRETT CORPORATION
Costs Incurred and Reserve Information
(Unaudited)
                                                       2013    2012    2011
($ in millions)
TOTAL CAPITAL EXPENDITURES                             $474.0  $962.6  $987.3
 Furniture, fixtures and equipment and real estate     (1.9)   (6.9)   (10.6)
 Change in asset retirement obligation                 3.5     8.3     12.1
TOTAL COSTS INCURRED (1)                               475.6   964.0   988.8
TOTAL COSTS INCURRED
 Exploration costs                                     2.5     32.5    20.8
 Development costs                                     455.5   754.2   607.7
 Acquisition costs:
 Unproved properties                                   13.7    163.0   183.4
 Proved properties                                     0.4     6.0     164.8
 Change in asset retirement obligation                 3.5     8.3     12.1
TOTAL COSTS INCURRED (1)                               475.6   964.0   988.8
 less: asset retirement obligation                     (3.5)   (8.3)   (12.1)
 less: Capitalized interest                            -       (0.5)   (1.4)
 Adjusted costs incurred                               $472.1  $955.2  $975.3
RESERVE ADDITIONS (MMBoe)
 Extensions, discoveries and other additions           75.6    31.2    35.3
 Revisions of previous estimates based on performance  (13.1)  (7.3)   6.3
 Revisions of previous estimates based on price or     (5.6)   (21.5)  0.9
 aging
 Purchases of reserves in place                        -       0.3     16.4
 RESERVE ADDITIONS MMBoe                               56.9    2.7     58.9
SALES INFORMATION (2)
 Property sales                                        $354.5  $329.0  $ 2.0
 Sales of reserves (MMBoe)                             40.5    36.5    -

(1) Costs Incurred is a defined capital expenditure used in the discussion of
    proved reserves in the Company's Form 10-K for the years indicated.
(2) 2013 property sales includes cash proceeds plus purchaser's assumption
    of capital lease obligation for compressor units.

SOURCE Bill Barrett Corporation

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