McMoran Exploration (MMR) SC 13E3 Going private transaction

Confidential

December 3, 2012

PRELIMINARY | SUBJECT TO FURTHER REVIEW AND EVALUATION

These materials may not be used or relied upon for any purpose other than as specifically contemplated by a written agreement with Credit Suisse AG or its Affiliates (hereafter “Credit Suisse”).

Project Florida

Discussion materials for the Special Committee

Maine discussion materials

Exhibit (c)-8

Confidential

Table of contents

1.

Introduction

2.

Maine financial analysis

3.

Pro forma financial impact

Appendix

1

Confidential

1.

Introduction

2

Confidential

3

Maine current proposal overview

Source:

Public filings, company projections at forward curve pricing as of 11/30/12 and FactSet Research Systems.

Note:

Fully diluted share count assumes transaction close of 12/31/12.

(1)

Values and multiples as implied by proposed transaction.

(2)

Assumes 161.9 million basic shares outstanding for Maine per Maine management, 14.3 million options outstanding at a weighted average exercise

price

of

$14.20

per

share,

0.1

million

RSUs

and

$12.1

million

of

8.0%

convertible

preferred

stock

with

a

conversion

price

of

$6.84.

Maine

corporate

adjustments as of 9/30/12 based on $191.9 million of cash and cash equivalents, $700 million of 5.75% convertible preferred stock, $188.9 million of 4%

convertible notes, $67.8 million of 5.25% of convertible notes and $300 million of 11.875% senior notes per Maine 10Q (not pro forma for sale of West Delta /

Mississippi Canyon and Eugene Island properties effective July 2012).  Assumes 949.3 million basic shares outstanding for Florida, 13.6 million options

exercisable at weighted average price of $33.10 and RSUs of 1.3 million. Florida corporate adjustments as of 9/30/12 based on $3.7 billion of cash, $3.5

billion of debt and $3.6 billion of noncontrolling interest per Florida 10-Q.

(3)

Assumes unrisked 3P reserves of 335 Bcfe and unrisked resource potential of 63.7 Tcfe, per Maine management.

(4)

Assumes unrisked 3P reserves of 335 Bcfe and unrisked resource potential of 21.7 Bcfe, per RPS.

Florida Special Committee proposed

to acquire Maine in a transaction with

a per share consideration of $14.75

of cash and 1.15 units of 5% royalty

trust

Royalty trust receives revenue from

current ultra-deep exploration

prospects

Maine

current

proposal

–

Financial

summary

($ in millions, except where otherwise noted)

Maine at current proposal

(1)

Cash + Unit

(Case 1:  RPS

Cash + Unit

Florida

resource /

(nominal

at market

Maine

Cash

risking case)

value)

Share price (11/30/12)

$39.01

$8.53

$14.75

$16.29

$16.90

% premium / (discount) to current

72.9%

91.0%

98.1%

% premium / (discount) to 52-week high

(20.3%)

(48.5%)

(11.0%)

(1.7%)

2.0%

Equity value

$37,162

$1,401

$3,429

$3,779

$3,919

Enterprise value

(2)

40,562

2,466

3,537

3,888

4,027

Enterprise value /

2012E EBITDA(X)

5.7x

11.8x

17.0x

18.7x

19.3x

2013E EBITDA(X)

4.2x

10.6x

15.1x

16.6x

17.2x

Proved reserves ($ / mcfe)

$10.19

$14.61

$16.06

$16.64

Recoverable

unrisked

resources

($ /

mcfe)

–

per

Maine

(3)

0.04

0.06

0.06

0.06

Recoverable

unrisked

resources

($ / mcfe

–

per

RPS

(4)

0.11

0.16

0.18

0.18

2012E Production ($ / mcfe/d)

17,867

25,633

28,171

29,180

2013E Production ($ / mcfe/d)

16,438

23,582

25,917

26,846

Pre-tax PV-10%

3.0x

4.3x

4.7x

4.9x

Price /

2012E CFPS

7.2x

11.6x

20.1x

22.2x

23.1x

2013E CFPS

5.1x

6.0x

10.3x

11.4x

11.8x

Statistics

12/31/2011 Proved reserves (Bcfe)

242

242

242

242

% oil

40.6%

40.6%

40.6%

40.6%

% developed

91.1%

91.1%

91.1%

91.1%

Resource potential (Tcfe)

63.7

63.7

63.7

63.7

2012E production (mcfe/d)

138

138

138

138

% oil

40.6%

40.6%

40.6%

40.6%

R/P

4.8x

4.8x

4.8x

4.8x

Confidential

4

Maine current proposal summary

Note:

Based on forward curve pricing as of 11/30/12.  See page 11 for case description.

(1)

Implied

Maine

resource

case

based

on

ultra-deep

resource

potential

and

resource

risking

values

implied

by

a

$1.88

per

share

value

for

a

5%

override royalty interest

on ultra-deep resource production; implied 4.1 Tcfe of net risked resource potential in ultra-deep assuming 12% discount rate for illustrative purposes.

(2)

Based on RPS resource estimate for ultra-deep net risked resource potential of 2.8 Tcfe.

(3)

Value per unit based on 5% overriding royalty interest on gross revenue from ultra-deep resource potential at an illustrative 12% discount rate. Total number of units

of 229.2 million, equal to fully diluted share count, excluding stock options and RSUs (including 51 million of shares held by Pennsylvania and 33 million of shares

issued to Florida upon conversion of $500 million convertible security).

(3)

($ in millions, except per share values)

Per share value to public shareholders

and Pennsylvania

Implied Maine

Case 1:  RPS

resource case

(1)

resource / risking case

(2)

Cash

consideration

Cash

portion

–

prior

proposal

$15.50

$15.50

Proposed

reduction

(0.75)

(0.75)

Cash

portion

–

current

proposal

$14.75

$14.75

A

$1.88

$1.34

Royalty

units

1

unit

per

Maine

share

1.00

1.00

Units

issued

to

Florida

convertible

(to

be

paid

to

Maine

holders)

0.15

0.15

5%

Royalty

units

issued

to

public

shareholders

and

Pennsylvania

1.15x

1.15x

Total

royalty

value

paid

to

Maine

holders

(other

than

Florida)

$2.15

$1.54

B

Aggregate

offer

value

$16.90

$16.29

A + B

Value

per

unit

Confidential

Maine share price performance

5

Source:

Factset Research Systems.

Current

52-week

Average Closing Share Price

11/30/2012

High

Low

5-day

10-day

20-day

60-calendar day

90-calendar day

1-year

2-year

3-year

$8.53

$16.57

$7.25

$8.69

$10.54

$11.55

$11.54

$11.87

$12.06

$13.76

$13.64

11/30/09

5/5/10

10/8/10

3/14/11

8/18/11

1/20/12

6/26/12

11/30/12

$0

$3

$6

$9

$12

$15

$18

$21

$24

0

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

1/11/2010:  

Announced

discovery on its

Davy Jones ultra-

deep prospect

located on South

Marsh Island Block

230 in

approximately 20

feet of water

5/3/2010:

James R. Moffett

named President

and Chief

Executive Officer

9/8/2011:

Acquired Whitney

Exploration’s interest

in Davy Jones and

Blackbeard East

exploration projects

9/4/2012:

Announced

September

expected timing of

Davy Jones flow

test

7/30/2012:

Announced delay

in planned Davy

Jones flow test to

August

12/30/2010:

Announced the

completion of its

previously announced

acquisition of

Pennsylvania’s shallow

water GOM shelf

assets and related

financings.

1/5/2012:

Announced the

completion of

activities at the

Davy Jones No. 1

discovery well are

in an advanced

stage

11/26/2012:

Announced that

solvents will have

to be injected into

Davy Jones well to

obtain a

measurable flow

test

Volume in Thousands

Maine

Confidential

6

Selected equity research perspectives

Source:

Bloomberg, FactSet Research Systems.

Note:

Excludes price targets issued prior to Maine’s GOM exploration and development update on November 26, 2012.

(1)

Based on Maine’s closing share price of $8.53 as of 11/30/12.

(2)

Based on current proposal of $16.29 per share.

JPMorgan, 11/27/12

“Stock still overvalued. Despite Monday’s 22.5% stock price decline, we think Maine shares still are

overvalued. Maine closed Monday at $9.65/share. Using NYMEX futures, we calculate that Maine has

zero equity value. Using our JPM price deck ($5.50/Mcf long-term gas), we value Maine at $2.31/share.

According to our NAV, the market already is giving significant credit for success at Davy Jones as well as

at other Ultra-Deep Shelf (UDS) fields.”

Premium / (discount)

Premium / (discount)

Date

Name

Recommendation

Price target

to current

(1)

to current proposal

(2)

11/29/12

Susquehanna

Positive

$18.00

111.0%

10.5%

11/28/12

Capital One Southcoast

Add

12.00

40.7%

(26.3%)

11/28/12

Ladenburg Thalmann & Co.

Buy

21.00

146.2%

28.9%

11/27/12

JPMorgan

Underweight

NA

NA

NA

11/27/12

Howard Weil Inc

Market perform

15.00

75.8%

(7.9%)

11/27/12

RBC Capital

Sector perform

10.00

17.2%

(38.6%)

11/26/12

Jefferies

Hold

12.00

40.7%

(26.3%)

11/26/12

Guggenheim Securities

Buy

20.00

134.5%

22.8%

Mean

$15.43

80.9%

(5.3%)

Median

15.00

75.8%

(7.9%)

Confidential

2.

Maine financial analysis

7

Confidential

8

Overview of Maine financial analysis

methodologies

Reviewed current trading

multiples of selected public

companies

Applied selected multiple ranges

to Maine’s projected financial

and operating data

Reviewed purchase price

multiples of selected transactions

Applied selected multiple ranges

to Maine’s financial and operating

data

Selected Companies Analysis

Selected Transactions Analysis

Discounted proved, probable,

possible (“3P”) and resource

potential

14.25-year unlevered free

cash flows (9/30/12–12/31/2026E)

Cash flows from remaining

reserves after 2026E discounted

to 9/30/12 based on the weighted

average remaining life of

production

Discount rates based on capital

asset pricing model and weighted

average cost of capital

Various pricing and risking cases

drive cash flows

Discounted Cash Flow (“DCF”)

Net Asset Value (“NAV”) Analysis

Reference Ranges

Confidential

Cash

9

Maine financial analysis

Note:

Cash

flows

discounted

to

9/30/12

using

discount

rates

of

11%

and

13%.

Based

on

forward

curve

pricing

as

of

11/30/12.

Resource risking: RPS: 13%; Maine management: 30%.  Multiples based on low end and high end of ranges.

(1)

Royalty trust value based on corresponding resource and risking and 5% overriding royalty interest on gross revenue from ultra-deep resource potential at an illustrative discount rate of

12%. Values for Cases 1-3 based on 1.15 units.

(2)

Based on 2011A proved reserves of 242 Bcfe.  Not pro forma for sale of West Delta / Mississippi Canyon and Eugene Island properties effective July 2012.

(3)

Based on unrisked 3P reserves of 332 Bcfe and unrisked resource potential of 21.7 Tcfe per RPS.  Italics based on unrisked 3P reserves of 332 Bcfe and unrisked resource potential of 63.7 Tcfe per

Maine management.

(4)

Based on net unrisked resource estimate of 21.7 Tcfe per RPS.

(5)

Based on net unrisked resource estimate of 63.7 Tcfe per Maine management.

Current Maine

$8.53

DCF / NAV –

Case 2: 

Maine management

resource / RPS

risking

(5)

DCF / NAV –

Case 3:

Maine management

resource / risking

(5)

DCF / NAV –

Case 1: 

RPS resource / 

risking

(4)

Selected transactions

analysis

Selected companies

analysis

Implied

reserve multiple

($/Mcfe)

(2)

$9.30 –

$14.46

14.44 –

16.72

28.87 –

34.64

56.97 –

69.54

16.53 –

24.79

Offer consideration

per share

1.15 units

Royalty trust

1.15 units

$1.54

4.26

9.53

$14.75

14.75

14.75

14.75

14.75

(1)

$80

Implied

recoverable

resource 

multiple

($/Mcfe)

(3)

$0.10 –

$0.16

0.16 –

0.18

0.32 –

0.38

0.63 –

0.76

0.18 –

0.27

0.04 –

0.05

0.06 –

0.09

0.05 –

0.06

0.11 –

0.13

0.22 –

0.26

+

+

+

+

+

+

$58.25

$29.71

$14.68

$17.16

$7.23

$71.01

$35.57

$17.36

$25.57

$14.71

$0

$10

$20

$30

$40

$50

$60

$70

Confidential

3P reserve estimates based on reserve reports prepared by Ryder Scott, Maine’s third-party reserve engineers

Projection model with production and costs for ~3 Tcfe of net resource potential provided by Maine management

–

Scaled up to 21.5 Tcfe of net unrisked resource potential per analysis provided by RPS, the Special Committee’s

reserve

engineers,

and

63.5

Tcfe

of

net

unrisked

resource

potential

per

Maine

management

–

Recently revised RPS estimate of 21.5 Tcfe of net unrisked ultra-deep resource potential based on additional

diligence

sessions

and

new

information

received

from

Maine

management

(see

page

22)

–

In

addition,

included

development

plan

for

Davy

Jones

discovery,

provided

by

Maine

management

(~200

Bcfe

of

~4 Tcfe

discoveries net to Maine)

Analyzed 14.25-year unlevered free cash flows (9/30/12–12/31/2026E)

–

Projected

unlevered

free

cash

flows

to

9/30/12;

discounted

using

discount

rates

of

11–13%

–

Cash

flows

from

remaining

reserves

after

2026E

discounted

to

9/30/12

based

on

the

weighted

average

remaining

life of

production

Assumes

forward

curve

pricing

as

of

11/30/2012

(1)

Reserve and resource risking assumed per RPS and Maine management

–

13% risking for ultra-deep resource potential per RPS

–

30% risking for ultra-deep resource potential per Maine management

Cash G&A and non-cash G&A per Maine management

Plan tax rate of 38% per Maine management

Tax basis of assets per Maine management

10

Maine NAV analysis assumptions

Note:

Tax assumptions per Maine management as follows: Capital recovery assumes 25% of future capital expenditures allocated to tangible

assets and 75% to intangible drilling costs expensed in year incurred.  Tangible assets depreciated using a 7-year MACRS schedule. 

Analysis doesn’t account for AMT and withholding taxes.

Not pro forma for sale of West Delta / Mississippi Canyon and Eugene Island properties effective July 2012.

(1)

Source:  Bloomberg, FactSet Research Systems.

(2)

Represents average of spot prices until 9/30/12 and forward curve pricing for remaining 2012.

(2)

2012

2013

2014

2015

2016

2017

2018

2019

Thereafter

WTI ($/bbl)

$88.13

$90.23

$90.37

$88.61

$86.70

$86.03

$85.74

$85.63

$85.53

Henry Hub ($/MMbtu)

3.60

3.77

4.12

4.26

4.66

4.87

5.10

5.37

5.66

Confidential

Maine risked NAV analysis

11

(1)

Analysis based on forward curve pricing as of 11/30/2012

(1)

Maine corporate adjustments as of 9/30/12 based on $191.9 million of cash and cash equivalents, $700 million of 5.75%

convertible preferred stock, $188.9 million of 4% convertible notes, $67.8 million of 5.25% of convertible

notes

and

$300

million

of

11.875%

senior

notes

per

Maine

10Q

(not

pro

forma

for

sale

of

West

Delta

/

Mississippi Canyon

and Eugene Island properties effective July 2012).

(2)

Assumes 161.9 million basic shares outstanding per Maine management, 14.3 million options outstanding at a

weighted

average

exercise

price

of

$14.20

per

share,

0.1

million

RSUs

and

$12.1

million

of

8.0%

convertible preferred

stock with a conversion price of $6.84.

(1)

(1)

(2)

(2)

(2)

Case

1 –

RPS resource / risking case

Low

–

High

Discount rate

13.0%

–

11.0%

PV of unlevered free cash flow

$3,494

–

$4,046

(–)

Corporate adjustments

(1,065)

–

(108)

Implied equity value reference range

2,429

3,938

Implied per share reference range

$14.68

–

$17.36

Case

2 –

Maine

management

resource

/

RPS

risking

case

Low

–

High

Discount rate

13.0%

–

11.0%

PV of unlevered free cash flow

$6,988

–

$8,384

(–)

Corporate adjustments

(108)

–

(108)

Implied equity value reference range

6,880

–

8,276

Implied per share reference range

$29.71

–

$35.57

Case

3 –

Maine

management

resource

/

risking

case

Low

–

High

Discount rate

13.0%

–

11.0%

PV of unlevered free cash flow

$13,789

–

$16,830

(–)

Corporate adjustments

(108)

–

(108)

Implied equity value reference range

13,681

–

16,722

Implied per share reference range

$58.25

–

$71.01

Confidential

12

Maine risked NAV sensitivity analysis

Maine management resource cases commodity price sensitivity analysis

RPS resource case commodity price sensitivity analysis

Note:

Assume

forward

curve

pricing

for

2012

–

2014

and

flat

pricing

where

indicated

thereafter.

Analysis based on illustrative discount rate of 12%.

Before adjustment for 5% royalty.

(1)

Forward curve pricing as of 11/30/12.

(2)

(2)

(1)

(1)

Credit Suisse research pricing

2012E

2013E

2014E

2015E

Thereafter

Brent ($/bbl)

$110.60

$115.00

$110.00

$90.00

$90.00

WTI ($/bbl)

95.11

106.00

102.00

83.50

83.50

Henry Hub ($/MMbtu)

2.74

3.70

4.29

4.50

4.50

(2)

Commodity price

WTI oil

Forward curve

Credit Suisse

$80.00

$90.00

$100.00

$110.00

Nat. Gas

pricing

research pricing

3.00

4.00

5.00

6.00

Case 1 –

RPS resource / risking

$16.11

$12.95

$6.25

$11.11

$15.57

$18.90

Commodity price

WTI oil

Forward curve

Credit Suisse

$80.00

$90.00

$100.00

$110.00

Nat. Gas

pricing

research pricing

3.00

4.00

5.00

6.00

Case 2 –

Maine management

$32.48

$25.95

$13.86

$22.72

$30.76

$38.82

resource / RPS risking

Case 3 –

Maine management

64.27

49.35

24.61

42.33

59.92

77.42

resource / risking

Confidential

Maine royalty sensitivity analysis

13

(2)

Per share estimate for royalty

(1)

($ per share, except where otherwise indicated)

Maine price per share –

ultra-deep royalty rate sensitivity

($ per fully diluted share outstanding, except where otherwise indicated)

(3)

(3)

Resource

Net implied

Royalty

Production estimate (Mmcfe/d)

Risking

risked resource (Tcfe)

5.0%

2013E

2014E

2015E

Case 1 –

RPS resource /

risking

13.1%

2.8

$1.34

44.7

121.8

222.3

Case 2 –

Maine management resource

/

RPS risking

13.1%

8.3

$3.70

44.7

220.0

517.1

Case 3 –

Maine Management resource

/

risking

30.0%

19.1

8.29

44.7

410.7

1,089.2

RPS resource

Maine management

estimate

(2)

resource estimate

(3)

Case 1

Case 2

Case 3

RPS risking

RPS risking

Maine risking

Implied price per Maine share (NAV analysis)

$16.11

$32.48

$64.27

Implied price per Maine share assuming:

5% royalty on resource potential

15.09

30.32

59.26

th

Note:

Royalty

interest

not

on

8/8

basis.

(1)

Royalty payment based on revenue from ultra-deep prospects for 2012 through end of resource life. Analysis based on

forward curve pricing as of 11/30/12 and illustrative discount rate of 12%. 

(2)

Assumes 21.5 Tcfe of unrisked ultra-deep resource potential plus 200 Bcfe for Davy Jones.

(3)

Assumes 63.5 Tcfe of unrisked ultra-deep resource potential plus 200 Bcfe for Davy Jones.

Confidential

($ in millions, except as indicated)

Proved Reserves

Enterprise Value /

% of

%

Total

Proved

Total

Price

52-Week

Market

Enterprise

Total

Proved

%

Resources

EV / EBITDAX

Reserves

Resources

Daily Production ($/Mcfe/d)

Company

(11/30/12)

High

Value

Value

Bcfe

Dev.

Gas

R/P

(Bcfe)

2012E

2013E

($/Mcfe)

($/Mcfe)

2012E

2013E

GOM independent E&P

Energy XXI

$31.68

79.9%

$2,512

$3,533

718

68.3%

29.1%

6.6x

25,752

4.1x

3.7x

$4.92

$0.14

$11,940

$8,597

W&T Offshore

16.57

60.5%

1,232

2,158

747

62.8%

42.7%

8.2

1,648

4.2

3.6

2.89

1.31

8,608

7,705

Stone Energy

20.73

58.4%

1,026

1,679

602

59.8%

54.4%

7.2

1,392

2.7

2.6

2.79

1.21

7,333

6,606

EPL Oil & Gas

20.99

91.2%

821

1,510

461

74.6%

37.4%

13.5

NA

5.5

3.3

3.28

NA

16,160

10,775

Contango

40.99

63.0%

623

485

257

97.6%

78.5%

NA

NA

NA

NA

1.89

NA

NA

NA

PetroQuest Energy

5.33

72.1%

343

522

265

60.9%

91.3%

7.8

1,333

6.2

4.3

1.97

0.39

5,628

5,056

Crimson Exploration

2.74

48.2%

126

367

200

36.9%

81.2%

14.0

1,748

4.5

3.8

1.83

0.21

9,365

8,528

Mean

65.8%

59.2%

9.6x

4.5x

3.6x

$2.80

$0.65

$9,839

$7,878

Median

62.8%

54.4%

8.0

4.4

3.7

2.79

0.39

8,986

8,116

Global explorers

Tullow Oil

$22.07

86.7%

$20,096

$20,821

1,786

–

18.0%

11.0x

6,711

7.6x

6.6x

$11.66

$3.10

$46,894

$39,704

OGX

2.06

19.1%

6,658

9,630

NA

NM

NA

NA

64,800

NM

NM

NM

0.15

98,815

21,235

Cobalt

23.32

63.9%

9,577

8,565

NM

NA

NM

NM

65,400

NM

NM

NM

0.13

NM

NM

Kosmos Energy

11.86

78.4%

4,613

5,192

306

50.3%

7.8%

7.8

11,010

13.7

8.8

16.97

0.47

48,612

34,202

Afren

2.19

89.8%

2,405

3,103

1,110

–

0.9%

12.1

5,970

2.8

3.0

2.80

0.52

12,306

12,996

Ophir Energy

7.89

76.0%

3,147

2,693

NM

–

NM

NM

15,000

NM

NM

NM

0.18

NM

NM

Mean

12.6%

8.9%

10.3x

8.0x

6.1x

$10.47

$0.76

$51,657

$27,034

Median

–

7.8%

11.0

7.6

6.6

11.66

0.33

47,753

27,718

Maine (at market)

$8.53

51.5%

$1,401

$2,466

242

91.1%

59.4%

4.8x

64,035

14.3x

15.2x

$10.19

0.04 / 0.11

$17,664

$14,192

Maine (Maine Mgmt.)

8.53

51.5%

1,401

2,466

242

91.1%

59.4%

4.8

64,035

11.8

10.6

10.19

0.04 / 0.11

17,867

16,438

Source:  Company filings, press releases, Wall Street research and I/B/E/S consensus estimates.  Maine not pro forma for sale of West Delta / Mississippi Canyon and Eugene Island properties effective July 2012.

Note:

Balance sheet data and reserves presented pro forma where appropriate.  R/P ratios based on 2012E production.

(1)

Includes unrisked 3P reserves and resource potential, where disclosed.

Illustrative Oil:Gas ratio of 6:1 and 6:1 based on thermal and price equivalence, respectively.

(2)

Maine management / RPS resource estimates.

Selected companies trading statistics

14

(2)

/ 22,032

/ 22,032

(2)

(2)

(2)

(1)

Confidential

Selected companies analysis

15

Source:

Public filings and Maine management estimates.  Not pro forma for sale of West Delta / Mississippi Canyon and Eugene Island properties effective July 2012.

(1)

Maine corporate adjustments as of 9/30/12 based on $191.9 million of cash and cash equivalents, $700 million of 5.75% convertible preferred stock ($500 million held by Florida does not

convert

at

any

price),

$188.9

million

of

4%

convertible

notes,

$67.8

million

of

5.25%

of

convertible

notes

and

$300

million

of

11.875%

senior

notes

per

Maine

10Q.

(2)

Assumes 161.9 million basic shares outstanding for Maine per Maine management, 14.3 million options outstanding at a weighted average exercise price of $14.20 per share, 0.1 million RSUs and

$12.1 million of 8.0% convertible preferred stock with a conversion price of $6.84.

(3)

Based on Maine’s closing share price as of 11/30/12.

(3)

($ in millions, except per unit and per share amounts)

Maine

Selected range

Implied enterprise value range

data

Low

–

High

Low

–

High

Enterprise Value/

Proved reserves ($ / Mcfe)

242

$9.00

–

$13.00

$2,178

–

$3,147

2012E Daily Production ($ / Mcfe/d)

138

$15,000

–

$25,000

2,070

–

3,450

2013E Daily Production ($ / Mcfe/d)

150

12,500

–

20,000

1,875

–

3,000

Total unrisked resources –

Maine management

64,035

$0.10

–

$0.20

6,403

–

12,807

Total unrisked resources –

RPS

22,032

0.10

–

0.20

2,203

–

4,406

Enterprise value reference range

$2,250

–

$3,500

(–)

Corporate adjustments

(1)

(1,065)

–

(1,065)

Implied equity value reference range

$1,185

–

$2,435

Implied per share reference range

(2)

$7.23

$14.71

(15.2%)

–

72.5%

(55.6%)

–

(9.7%)

% premium / (discount) to current –

$8.53

% premium / (discount) to current proposal (Case 1: RPS resource

/ risking case) –

$16.29

($ / Mcfe)

($ / Mcfe)

Confidential

Selected corporate transactions

16

Source:

J.S. Herold, Bloomberg, company press releases.

Note:

Maine not pro forma for sale of West Delta / Mississippi Canyon and Eugene Island properties effective July 2012.

(1)

Unrisked,

includes

3P

reserves

and

resource

estimates.

“NA”

for

transactions

with

unavailable

information

for

total

recoverable

resources.

(2)

As of announcement date.

(3)

Brigham’s daily production of 16,800 Boe/d is net of royalties.

(4)

As of 11/30/12.

(5)

Maine management / RPS resource estimates.

/ 22,032

(5)

/ 22,032

(5)

/

$0.11

(5)

/ 0.18

(5)

Maine (at market     )

($ in millions, except per unit amounts)

Total

Transaction Value /

Proved

recoverable

%

Reserve

Proved

Daily

Recoverable

12-Month

Announce

Buyer /

Transaction

Reserves

resources

%

Proved

Life

LTM

Reserves

Prod.

resources

NYMEX forward curve

(2)

Date

Seller

Consideration

Value

(Bcfe)

(Bcfe)

(1)

Gas

Dev.

(Years)

EBITDAX

($/Mcfe)

($/Mcfe/d)

($/Mcfe)

(1)

Oil ($/bbl)

Gas ($/mcf)

07/23/12

CNOOC Limited / Nexen Inc.

100% cash

$17,743

5,532

43,098

12%

50%

10.4x

4.2x

$3.21

$12,175

$0.41

$90.38

$3.19

04/25/12

Halcon Resources / GeoResources

53% cash / 47% stock

1,000

175

908

33%

70%

15.2

9.9

5.70

31,626

1.10

103.16

2.01

02/01/12

SandRidge Energy / Dynamic Offshore Resources

53% cash / 47% stock

1,275

375

NA

50%

80%

6.8

4.7

3.40

8,439

NA

97.61

2.32

10/17/11

Statoil / Brigham Exploration

(3)

100% cash

4,643

401

2,801

22%

35%

10.9

17.2

11.58

46,057

1.66

86.38

3.70

07/15/11

BHP Billiton / Petrohawk

100% cash

15,068

3,392

35,000

92%

35%

11.5

12.3

4.44

18,584

0.43

98.30

4.63

11/09/10

Chevron / Atlas Energy

88% cash / 12% stock

4,315

847

9,000

99%

44%

29.0

19.2

5.09

53,929

0.48

89.18

4.34

04/15/10

Apache Corporation / Mariner Energy Inc.

30% cash / 70% stock

4,458

1,087

5,438

53%

37%

9.5

8.4

4.10

14,218

0.82

88.87

4.89

04/01/10

Sandridge Energy / Arena Resources

6% cash / 94% stock

1,535

416

NA

15%

37%

22.3

12.3

3.69

30,070

NA

86.47

4.81

03/22/10

CONSOL Energy Incorporated / CNX Gas Corporation

100% cash

987

319

3,016

NA

54%

19.2

2.5

3.09

21,647

0.33

82.14

4.83

12/14/09

Exxon Mobil Corporation / XTO Energy Incorporated

100% stock

40,496

14,827

45,000

84%

61%

14.0

5.9

2.73

13,956

0.90

75.61

4.25

11/01/09

Denbury Resources / Encore Acquisition Company

30% cash / 70% stock

4,465

1,322

3,954

33%

80%

13.4

11.8

3.38

16,521

1.13

79.71

5.62

04/30/08

Stone Energy / Bois d'Arc Energy

55% cash / 45% stock

1,796

335

NA

57%

74%

8.0

4.8

5.36

15,608

NA

112.21

11.07

07/14/08

Royal Dutch Shell / Duvernay Oil Corp

100% cash

5,838

468

2,000

91%

44%

10.4

18.5

12.48

47,540

2.92

146.10

12.05

07/17/07

Plains Exploration / Pogo Producing

42% cash / 58% stock

3,700

1,314

NA

65%

73%

12.7

5.3

2.85

13,152

NA

73.45

7.63

01/07/07

Forest Oil / Houston Exploration

50% cash / 50% stock

1,589

700

NA

96%

67%

8.9

4.6

2.27

7,384

NA

60.35

7.07

06/23/06

Anadarko / Kerr-McGee

100% cash

17,818

5,388

NA

62%

71%

9.5

5.8

3.31

11,516

NA

73.06

8.37

06/23/06

Anadarko / Western Gas Resources Incorporated

100% cash

5,385

921

NA

97%

43%

12.8

10.3

5.85

27,335

NA

72.97

8.46

04/21/06

Petrohawk / KCS Energy

29% cash / 71% stock

1,943

463

1,463

88%

73%

8.1

5.9

4.22

12,511

1.33

76.72

10.00

01/23/06

Helix Energy / Remington Oil & Gas

58% cash / 42% stock

1,292

279

NA

60%

57%

9.3

5.9

4.22

12,511

NA

69.51

9.45

12/12/05

ConocoPhillips / Burlington Resources Incorporated

51% cash / 49% stock

36,400

12,484

NA

69%

73%

11.8

6.3

2.92

12,607

NA

63.52

12.06

10/13/05

Occidental Petroleum / Vintage Petroleum

39% cash / 61% stock

3,993

2,623

NA

32%

67%

15.8

6.8

1.52

8,769

NA

63.40

11.77

09/19/05

Norsk Hydro / Spinnaker Exploration

100% cash

2,547

374

NA

49%

34%

7.2

9.1

6.82

17,886

NA

67.98

11.93

04/04/05

Chevron / Unocal Corporation

25% cash / 75% stock

18,362

10,522

NA

62%

52%

11.3

5.0

1.75

7,199

NA

58.44

8.10

01/26/05

Cimarex Energy / Magnum Hunter

100% stock

2,097

838

NA

59%

75%

11.5

5.7

2.50

10,477

NA

47.73

6.60

Mean

60%

58%

12.5x

8.4x

$4.44

$19,655

$1.05

Median

60%

59%

11.4

6.1

3.55

14,087

0.90

11/30/12

(4)

$2,466

242

64,035

59%

91%

4.8x

11.8x

$10.19

$17,867

$0.04

$90.23

$3.77

11/30/12

Maine

(at

current

proposal

–

Case 1: RPS

resource

/ risking case –

$16.29)

3,888

242

64,035

59%

91%

4.8

18.7

16.06

28,171

0.06

90.23

3.77

Confidential

Selected asset transactions –

GOM

17

Source:

John S. Herold, public filings and press releases.

Note:

Includes transactions above $500 million enterprise value.

Maine not pro forma for sale of West Delta / Mississippi Canyon and Eugene Island properties effective July 2012.

(1)

Unrisked,

includes

3P

resource

estimates.

“NA”

for

transactions

with

unavailable

information

for

total

recoverable

resources.

(2)

As of announcement date.

(3)

As of 11/30/12.

(4)

Maine management / RPS resource estimates.

Ecopetrol S.A.

Chevron Corporation

Deepwater

510

–

NA

NA

–

NA

42,500

NA

109.71

8.24

02/01/08

Korea National Oil Corporation;Samsung C&T

Taylor Energy Company

Shallow Water

1,097

349

NA

24%

11.7

3.14

13,441

NA

91.75

8.10

06/21/07

McMoRan Exploration Company

Newfield Exploration Company

Shallow Water

1,100

327

NA

70%

3.3

3.36

4,074

NA

68.19

7.39

04/30/07

Eni S.p.A.

Dominion Resources Inc

Deepwater

4,730

961

NA

48%

5.9

4.92

10,653

NA

66.46

7.43

07/12/06

Repsol S.A.

BP plc

Deepwater

2,145

630

NA

8%

NA

3.40

NA

NA

74.16

5.51

05/16/06

Beryl Resources LP;First Reserve;Superior Energy

Noble Energy Incorporated

Shallow Water

625

162

NA

74%

3.7

3.86

5,208

NA

69.41

5.90

04/20/06

Mitsui & Company, Ltd.;Mitsui Oil Exploration Co., Ltd.

Pogo Producing Company

Shallow Water

500

143

NA

33%

5.4

3.50

6,944

NA

72.17

7.77

04/19/06

Apache Corporation;Mariner Energy, Inc.;Stone Energy

BP plc

Shallow Water

1,300

347

NA

53%

6.0

3.75

8,145

NA

71.35

7.57

04/07/06

Merit Energy Company

The Houston Exploration Company

Shallow Water

590

186

NA

NA

6.4

3.17

7,375

NA

67.94

7.06

02/23/06

Marubeni Corporation

Pioneer Natural Resources Company

Deepwater

1,300

120

NA

NA

1.4

10.83

5,702

NA

58.01

7.52

01/02/06

W&T Offshore, Inc.

Kerr-McGee Corporation

Shallow Water

1,030

345

NA

74%

5.9

2.98

6,408

NA

61.13

9.52

09/12/05

Mariner Energy, Inc.

Forest Oil Corporation

Shallow Water

1,130

332

NA

76%

3.9

3.40

4,850

NA

64.08

10.94

04/28/05

Statoil ASA

Encana Corporation

Deepwater

2,000

247

NA

6%

NA

8.10

NA

NA

51.61

7.09

04/04/05

Nippon Oil Corporation

Devon Energy Corporation

Shallow Water

595

252

NA

50%

2.9

2.36

2,491

NA

57.27

7.56

08/20/04

Apache Corporation

Anadarko Petroleum Corporation

Shallow Water

635

360

NA

50%

14.8

1.77

9,512

NA

48.70

5.36

01/13/03

Apache Corporation

BP plc

Shallow Water

509

433

NA

61%

3.8

1.17

1,621

NA

31.68

5.17

02/20/01

Hess Corporation

LLOG Exploration Company

Shallow Water

750

360

NA

70%

4.9

2.08

3,750

NA

29.16

5.44

Mean

50%

6.2x

$4.42

$10,068

$1.56

Median

51%

5.7

3.40

8,045

1.22

11/30/12

$2,466

242

64,035 / 22,032

59%

4.8x

$10.19

$17,867

$0.04 / $0.11

$90.23

$3.77

11/30/12

3,888

242

64,035 / 22,032

59%

4.8

16.06

28,171

0.06 / 0.18

90.23

3.77

Maine (at market     )

(3)

Maine

(at

current

proposal

–

Case1:

RPS

resource

/

riskingcase

–

$16.29)

($ in millions, unless stated otherwise)

Total

Transaction value /

Proved

recoverable

Reserve

Proved

Daily

Recoverable

12-month

Ann.

Asset

Transaction

reserves

resources

%

life

reserves

Prod.

resources

NYMEX strip

(2)

date

Acquiror

Target / Seller

type

value

(Bcfe)

(Bcfe)

(1)

Gas

(years)

($/Mcfe)

($/Mcfe/d)

($/Mcfe)

(1)

Oil

Gas

09/17/12

EPL Oil & Gas, Inc.

Hilcorp Energy Company

Shallow Water

$550

218

NA

46%

9.9x

$2.53

$9,167

NA

$99.00

$2.94

09/10/12

Plains Exploration & Production Co.

Royal Dutch Shell plc

Deepwater

560

80

341

23%

4.9

7.00

12,613

1.64

96.42

2.73

09/10/12

Plains Exploration & Production Co.

BP plc

Deepwater

5,550

681

2,905

23%

5.2

8.14

15,546

1.91

96.42

2.73

07/02/12

INPEX Corporation

Anadarko Petroleum Corporation

Deepwater

556

–

130

NA

NA

NA

NA

4.29

84.96

2.74

02/24/12

Apollo Global Management

EP Energy Corporation;El Paso Corporation

Diversified

7,150

3,987

11,700

70%

12.1

1.79

7,944

0.61

107.49

2.67

11/21/10

Energy XXI (Bermuda) Limited

Exxon Mobil Corporation

Shallow Water

1,012

297

NA

39%

6.8

3.41

8,433

NA

81.51

3.79

10/25/10

Marubeni Corporation

BP plc

Deepwater

650

318

NA

62%

9.7

2.04

7,222

NA

81.16

3.19

09/20/10

McMoRan Exploration Company

Plains Exploration & Production Co.

Shallow Water

829

60

6,680

85%

3.7

13.82

18,424

0.12

73.66

4.11

04/12/10

Apache Corporation

Devon Energy Corporation

Shallow Water

1,050

245

NA

51%

6.0

4.28

9,375

NA

84.92

3.90

03/11/10

BP plc

Devon Energy Corporation

Deepwater

1,800

318

NA

62%

9.8

5.66

20,225

NA

82.09

4.44

12/22/09

Chevron;Eni;Exxon MobilMaersk Oil ; Petroleo Brasileiro; Statoil

Devon Energy Corporation

Deepwater

1,300

–

1,645

NA

NA

NA

NA

0.79

72.47

5.79

09/03/08

(4)

(4)

(4)

(4)

Confidential

Selected transactions analysis

18

(6)

($ in millions, except per unit and per share amounts)

Maine

Selected range

Implied enterprise value range

data

Low

–

High

Low

–

High

Proved reserves ($ / Mcfe)

(1)

242

$13.00

–

$16.00

$3,147

–

$3,873

2012E daily production ($ / Mcfe/d)

138

$18,000

–

$23,000

2,484

–

3,174

Total recoverable resources ($ / Mcfe)

–

Maine

(2)

64,035

$0.12

–

$0.30

7,684

–

19,210

Total recoverable resources ($ / Mcfe)

–

RPS

(3)

22,032

0.12

–

0.30

2,644

–

6,610

Enterprise value reference range

$4,000

–

$6,000

(–)

Corporate adjustments

(4)

(108)

–

(108)

Implied equity value reference range

$3,892

–

$5,892

Implied per share reference range

(5)

$17.16

–

$25.57

%

premium

/

(discount)

to current –

$8.53

101.2%

–

199.7%

%

premium / (discount)

to current proposal (Case 1:

RPS resource /

risking case) –

$16.29

5.3%

57.0%

Source:

Public filings and Maine management.  Not pro forma for sale of West Delta / Mississippi Canyon and Eugene Island properties effective July 2012.

(1)

As of 12/31/11 per Maine 10-K.

(2)

Assumes unrisked 3P reserves of 335 Bcfe and unrisked resource potential of 63.7 Tcfe, per Maine management.

(3)

Assumes unrisked 3P reserves of 335 Bcfe and unrisked resource potential of 21.7 Tcfe, per RPS.

(4)

Maine corporate adjustments as of 9/30/12 based on $191.9 million of cash and cash equivalents, $700 million of 5.75% convertible preferred stock ($500 million held by Florida does not

convert at any price), $188.9 million of 4% convertible notes, $67.8 million of 5.25% of convertible notes and $300 million of 11.875% senior notes per Maine 10Q.

(5)

Assumes 161.9 million basic shares outstanding for Maine per Maine management, 14.3 million options outstanding at a weighted average exercise price of $14.20 per share, 0.1 million

RSUs and $12.1 million of 8.0% convertible preferred stock with a conversion price of $6.84.

(6)

Based on Maine’s closing share price as of 11/3012.

Confidential

3.

Pro forma financial impact

19

Confidential

Based on Florida, Pennsylvania and Maine share prices of

$39.01, $35.70 and $8.53 as of 11/30/12 

Florida estimates per Florida management plan; assumes

transaction close of 1/1/13 for illustrative purposes

Commodity price assumptions based on forward curve

pricing as of 11/30/12

Florida stock issued at Florida share price of $39.01 as of

11/30/12

Share repurchase assumes Florida shares repurchased at a

10% premium to Florida’s closing share price of $39.01 as of

11/30/12 for illustrative purposes

Does not reflect pro forma financial impact of issuing royalty

units

Pro forma balance sheet based on Florida, Pennsylvania

and Maine management plans 

$2 billion minimum pro forma cash balance; 0.3% interest

rate earned on cash

3.75% interest rate on acquisition debt for illustrative

purposes

No synergies assumed for illustrative purposes

Marginal tax rate of 35%

Assumes that $500 million convertible preferred stock held

by Florida converts 

Cash consideration excludes Pennsylvania and Florida

interest in Maine

Illustrative pro forma financial impact

Merger consideration 100% cash for Maine, 50/50 stock/cash for

Pennsylvania         

20

Current proposals

Selected assumptions

Source:  Florida management 5-year plan, Pennsylvania management 5-year plan and Maine Financial Projections.

(1)

Implied value per share based on exchange ratio of 0.641x and Florida stock price of $39.01 as of 11/30/12.

(2)

Includes Pennsylvania cash-settled RSUs.

(2)

(1)

Pennsylvania current proposal

$50.00

% premium to current

40.1%

% stock

50.0%

Implied Pennsylvania aggregate equity consideration

$6,804

Implied Pennsylvania aggregate transaction value

17,316

Pro forma Pennsylvania ownership (fully diluted)

8.4%

Maine current proposal (cash consideration)

$14.75

% cash

100.0%

Maine equity purchase price

$3,429

Maine transaction value

3,537

Pro forma impact

(1.4%)

Additional pre-tax synergies to breakeven

$100

Share repurchase required for breakeven (millions of shares)

20.0

% of Florida basic shares outstanding repurchased

2.1%

27.0%

(0.6%)

25.9%

(0.8%)

26.5%

Total debt / 2012PF capitalization

45.7%

Total debt / 2012E EBITDA

1.7x

% of Florida basic shares outstanding issued

9.2%

Cash consideration

$5,687

Accretion

/

(Dilution)

–

2013E

CFPS

Accretion

/

(Dilution)

–

2014E

EPS

Accretion

/

(Dilution)

–

2014E

CFPS

Accretion

/

(Dilution)

–

2015E

EPS

Accretion

/

(Dilution)

–

2015E

CFPS

Accretion

/

(Dilution)

–

2013E

EPS

Confidential

Appendix

21

Confidential

RPS’

revisions to Maine’s ultra-deep resource

potential estimate

RPS revised its unrisked resource potential and risked resource potential estimate for Maine’s ultra-deep prospect inventory based on

additional diligence sessions and new information received from Maine management

–

Revised net unrisked resource potential of 21.5 Tcfe and net risked resource potential of 2.8 Tcfe, implying a risking factor of ~13% based

on more detailed Geologic Probability of Success (“GPoS”) risking exercise with prospect and zone specific GPoS

Revisions

based

on

updated

pay

associated

with

the

prospects

and

inclusion

of

individual

target

reservoirs

proposed

by

Maine

–

Resulted

in

approximately

40%

increase

in

RPS’

estimate

of

unrisked

resources

for

the

top

80%

of

the

ultra-deep

resource potential

–

Specifically,

England,

Captain

Blood,

Drake,

Highlander,

Lineham

Creek,

and

Calico

Jack

resource

estimate

increased

from

11.1 Tcfe

gross unrisked to 15.5 Tcfe gross unrisked resource

–

Subsequent addition of Tortuga discovery resulted in a gross unrisked resource potential of 21.1 Tcfe for ~80% of Maine’s ultra-deep

portfolio

–

A 100% gross up implies 35.5 Tcfe of gross unrisked resource potential resulting at 4.7 Tcfe gross risked resource potential (13.1%

weighted average risking and 2.8 Tcfe net risked resource potential to Maine)

Source:

RPS.

(1)

Net interest based on weighted average working interest implied by Maine’s interest in individual prospects.  Excludes

resources related to ultra-deep discoveries.

22

(1)

Initial RPS estimate

Revised RPS estimate

Gross Maine

Gross RPS

RPS

GPoS Risked

Gross RPS

RPS

GPoS Risked

Prospect

Resource (Tcfe)

Resource (Tcfe)

GPoS

RPS Resources (Tcfe)

Resource (Tcfe)

GPoS

RPS Resources (Tcfe)

England

27.3

3.9

3.9

23.0%

0.9

Captain Blood

18.0

1.0

1.0

10.8%

0.1

Drake

14.6

2.4

2.4

20.3%

0.5

Highlander

13.3

1.6

3.3

9.5%

0.3

Lineham Creek

10.8

1.7

2.7

8.5%

0.2

Calico Jack

7.0

0.5

2.2

10.1%

0.2

Tortuga

5.6

–

5.6

9.2%

0.5

Total

96.6

11.1

10.0%

1.1

21.1

13.1%

2.8

Remaining prsopects

19.2

16.6

10.0%

1.7

14.4

13.1%

1.9

All prospects

115.8

27.7

10.0%

2.8

35.5

13.1%

4.7

Net to Maine (Tcfe)

15.2

10.0%

1.5

21.5

13.1%

2.8

Confidential

Other Maine resources

23

(1)

Assumes forward curve pricing as of 11/30/12 and illustrative discount rate of 12%.

Risking cases 1-3 assign no value to

discoveries of 4 Tcfe net to Maine

(other than 200 Bcfe for Davy Jones)

GOM ultra-deep discoveries

Illustrative value for 321 Bcfe of ultra-deep

discoveries, excluding Davy Jones, is $1.00 per

share

(1)

Development

Net

plan

resources

received

% of

(Bcfe)

(Bcfe)

total

Davy Jones

1,631

201

12.3%

Lafitte

1,365

117

8.6%

Blackbeard East

597

115

19.2%

Blackbeard West

427

90

21.0%

Total

4,020

522

13.0%

Confidential

Premiums paid on selected precedent transactions

100% cash consideration, transaction value >$2 billion

24

($ in millions)

Ann.

Trans.

Premium to

(1)

Date

Target

Acquiror

Value

1-Day

5-Day

10-Day

20-Day

30-Day

60-Day

52wk high

09/03/12

Medicis Pharmaceutical Corp

Valeant Pharm Intl Inc

$3,074

39.4%

34.5%

34.0%

33.5%

33.1%

33.1%

9.7%

07/23/12

Nexen Inc.

CNOOC

17,743

61.2%

66.0%

67.1%

73.7%

74.5%

74.5%

10.0%

07/09/12

Amerigroup Corp

WellPoint Inc

4,852

43.0%

39.6%

45.8%

47.2%

47.2%

47.2%

22.4%

07/01/12

Lincare Holdings Inc

Linde AG

3,689

64.3%

61.2%

66.7%

82.2%

81.5%

81.5%

36.5%

06/29/12

Amylin Pharmaceuticals Inc

Bristol-Myers Squibb Co

7,183

101.4%

103.1%

97.7%

81.4%

73.5%

73.5%

68.0%

04/19/12

Human Genome Sciences Inc

GlaxoSmithKline PLC

2,910

98.7%

92.3%

79.9%

85.1%

75.9%

75.9%

(52.5%)

01/07/12

Inhibitex Inc

Bristol-Myers Squibb Co

2,524

163.4%

137.7%

137.4%

86.2%

86.2%

86.2%

57.7%

09/12/11

NetLogic Microsystems

Broadcom Corp.

3,678

56.7%

67.3%

74.0%

58.4%

58.4%

58.4%

14.4%

08/15/11

Motorola Mobility Holdings Inc

Google Inc

11,878

63.5%

85.8%

82.2%

84.4%

89.4%

89.4%

9.5%

07/14/11

Petrohawk Energy Corp

BHP Billiton PLC

15,068

65.0%

57.7%

57.1%

63.6%

62.1%

62.1%

41.2%

06/23/11

Southern Union Co

The Williams Cos Inc

5,520

55.7%

50.2%

48.6%

55.9%

58.9%

58.9%

44.3%

06/13/11

The Timberland Co

VF Enterprises Inc

2,181

43.4%

45.8%

32.2%

27.6%

26.9%

26.9%

(5.9%)

06/06/11

Temple-Inland Inc

International Paper Co

3,582

47.5%

30.6%

38.8%

31.2%

33.2%

33.2%

18.3%

05/06/11

Warner Music Group Corp      

Access Industries Inc        

3,306

74.8%

56.8%

53.1%

50.3%

50.3%

50.3%

2.9%

05/04/11

Varian Semiconductor Equip   

Applied Materials

4,715

55.4%

34.5%

46.0%

30.0%

33.2%

33.2%

25.0%

04/04/11

National Semiconductor Corp  

Texas Instruments Inc        

6,360

77.7%

73.3%

78.6%

70.2%

61.2%

61.2%

56.3%

03/28/11

GSI Commerce Inc             

eBay Inc.

2,279

50.9%

49.3%

59.0%

40.7%

40.4%

40.4%

(6.7%)

02/07/11

Beckman Coulter Inc          

Danaher Corp                 

5,782

46.3%

42.8%

50.5%

49.0%

48.9%

48.9%

19.5%

11/30/10

Baldor Electric Co           

ABB Ltd                      

4,188

40.8%

41.5%

42.7%

50.6%

51.1%

51.1%

38.7%

11/15/10

Bucyrus International Inc    

Caterpillar Inc              

7,453

32.2%

27.7%

36.5%

23.6%

23.8%

23.8%

21.2%

10/12/10

King Pharmaceuticals Inc

Pfizer Inc

3,566

40.4%

40.3%

43.5%

53.2%

52.1%

52.1%

8.0%

08/23/10

3PAR Inc

Hewlett-Packard Co

2,065

82.9%

83.3%

223.9%

244.8%

254.8%

254.8%

82.1%

08/19/10

McAfee Inc

Intel

7,828

60.4%

60.2%

47.6%

52.0%

56.0%

56.0%

5.1%

05/12/10

Sybase Inc

SAP

6,149

56.4%

53.0%

50.5%

38.1%

38.1%

38.1%

34.9%

03/01/10

OSI Pharmaceuticals Inc

Astellas Pharma Inc

3,100

55.3%

55.2%

62.1%

68.0%

69.9%

69.9%

44.4%

02/28/10

Millipore Corp

Merck KGaA

6,127

50.0%

54.9%

57.5%

51.1%

50.0%

50.0%

43.6%

11/11/09

3Com Corp

Hewlett-Packard Co

3,183

38.8%

44.7%

45.2%

38.8%

38.6%

38.6%

33.9%

09/21/09

Perot Systems Corp

Dell Inc

3,628

67.5%

74.6%

80.1%

76.5%

76.5%

76.5%

59.4%

04/20/09

Sun Microsystems Inc

Oracle Corp

7,305

42.0%

48.0%

11.9%

17.3%

17.3%

17.3%

(42.0%)

10/02/08

Atmel Corp                   

Microchip Technology Inc     

2,249

52.4%

37.4%

31.6%

26.3%

21.7%

21.7%

(14.2%)

07/14/08

Republic Services Inc        

Waste Management Inc         

7,016

32.6%

29.3%

24.6%

9.3%

9.3%

9.3%

5.7%

07/14/08

Duvernay Oil Corp

Royal Dutch Shell

5,838

42.0%

51.2%

37.0%

34.3%

34.3%

34.3%

22.8%

07/10/08

Rohm & Haas Co               

Dow Chemical Co              

15,513

74.0%

72.3%

59.0%

53.3%

51.1%

51.1%

24.4%

05/13/08

Electronic Data Systems Corp 

Hewlett-Packard Co           

12,565

32.6%

29.8%

31.9%

47.2%

44.9%

44.9%

(14.2%)

03/03/08

Diebold Inc                  

United Technologies Corp     

2,632

65.8%

55.3%

60.4%

47.4%

54.7%

54.7%

(26.6%)

02/21/08

ChoicePoint Inc              

Reed Elsevier Group PLC      

3,790

48.5%

46.0%

52.4%

55.3%

56.9%

56.9%

12.9%

12/10/07

Adams Respiratory Therapeutics

Reckitt Benckiser PLC        

2,267

37.4%

38.6%

45.0%

39.0%

39.1%

39.1%

28.6%

11/26/07

Genlyte Group Inc            

Philips Holding USA Inc      

2,810

52.4%

46.7%

43.9%

65.7%

64.4%

64.4%

8.6%

10/15/07

Tektronix Inc                

Danaher Corp                 

2,956

34.1%

31.9%

36.1%

19.4%

19.8%

19.8%

7.4%

Source:

SDC Platinum, FactSet Research Systems.

Note:  

Highlighted deals represent E&P transactions.

(1)

Premium to unaffected spot prices.

Confidential

Premiums paid on selected precedent transactions (cont’d)

100% cash consideration, transaction value >$2 billion

25

($ in millions)

Ann.

Trans.

Premium to

(1)

Date

Target

Acquiror

Value

1-Day

5-Day

10-Day

20-Day

30-Day

60-Day

52wk high

08/02/07

CheckFree Corp               

Fiserv Inc                   

4,290

30.3%

26.7%

19.4%

18.4%

17.4%

17.4%

7.3%

07/27/07

Kyphon Inc                   

Medtronic Inc                

4,068

32.3%

29.1%

30.8%

46.3%

45.4%

45.4%

24.3%

07/25/07

Dade Behring Holdings Inc    

Siemens Medical Solutions Inc

7,131

37.7%

37.3%

41.5%

46.0%

48.7%

48.7%

32.1%

07/03/07

Huntsman Corp                

Hexion Specialty Chemicals Inc

6,239

48.1%

42.9%

42.9%

42.6%

42.1%

42.1%

27.7%

05/18/07

aQuantive Inc                

Microsoft Corp               

6,333

85.4%

91.4%

116.5%

108.5%

111.8%

111.8%

84.2%

04/30/07

Intl Sec Exchange Hldgs Inc  

Eurex AG                     

2,821

47.6%

38.0%

30.8%

38.3%

38.3%

38.3%

17.5%

03/29/07

Lone Star Technologies Inc   

United States Steel Corp     

2,099

39.3%

38.3%

44.5%

41.4%

41.5%

41.5%

5.5%

11/06/06

Kos Pharmaceuticals Inc      

Abbott Laboratories          

4,146

55.7%

59.2%

57.1%

60.1%

60.2%

60.2%

6.0%

10/28/06

American Power Conversion

Schneider Electric SA

6,085

30.5%

32.9%

34.8%

43.5%

41.8%

41.8%

25.3%

10/02/06

Myogen Inc                   

Gilead Sciences Inc          

2,474

49.7%

49.2%

51.6%

50.0%

50.9%

50.9%

24.2%

06/29/06

RSA Security Inc             

EMC Corp                     

2,337

44.6%

49.2%

58.6%

80.9%

88.2%

88.2%

33.1%

06/23/06

Kerr-McGee Corp              

Anadarko Petroleum Corp      

17,818

40.2%

37.3%

35.1%

34.6%

36.5%

36.5%

22.6%

06/23/06

Western Gas Resources Inc    

Anadarko Petroleum Corp      

5,385

49.1%

44.7%

38.8%

28.4%

31.5%

31.5%

4.9%

06/12/06

Maverick Tube Corp           

Tenaris SA                   

3,096

42.4%

35.5%

37.0%

22.6%

19.8%

19.8%

4.6%

12/14/05

Anteon International Corp

General Dynamics Corp

2,176

36.1%

32.7%

29.5%

23.6%

21.7%

21.7%

15.1%

12/14/05

Abgenix Inc

Amgen Inc

2,127

53.6%

58.5%

59.6%

67.7%

67.9%

67.9%

52.1%

11/13/05

Georgia-Pacific Corp

Koch Forest Products Inc

12,634

38.5%

44.8%

47.6%

54.0%

54.7%

54.7%

24.8%

09/19/05

Spinnaker Exploration Co

Norsk Hydro ASA

2,545

34.4%

44.3%

48.9%

54.6%

54.6%

54.6%

31.8%

08/24/05

York International Corp

Johnson Controls Inc

3,288

35.3%

36.9%

33.8%

31.9%

34.9%

34.9%

31.4%

08/03/05

Reebok International Ltd

adidas-Salomon AG

4,220

34.2%

38.7%

40.1%

40.3%

39.1%

39.1%

27.4%

All transactions

Mean

52.7%

51.1%

53.7%

52.5%

52.6%

52.6%

21.3%

Median

48.1%

45.8%

46.0%

47.4%

48.9%

48.9%

22.6%

E&P transactions

Mean

48.6%

50.2%

47.3%

48.2%

48.9%

48.9%

22.2%

Median

45.6%

47.9%

43.8%

44.6%

45.6%

45.6%

22.7%

2012YTD transactions

Mean

81.6%

76.3%

75.5%

69.9%

67.4%

67.4%

21.7%

Median

64.3%

66.0%

67.1%

81.4%

74.5%

74.5%

22.4%

2011 transactions

Mean

57.9%

54.0%

56.4%

51.0%

51.2%

51.2%

19.9%

Median

55.7%

50.2%

53.1%

50.3%

50.3%

50.3%

18.3%

2009 transactions

Mean

51.5%

53.0%

63.8%

64.9%

66.2%

66.2%

29.9%

Median

50.0%

53.0%

47.6%

51.1%

51.1%

51.1%

34.9%

2008 transactions

Mean

49.7%

45.9%

42.4%

39.0%

39.0%

39.0%

1.5%

Median

48.5%

46.0%

37.0%

47.2%

44.9%

44.9%

5.7%

2005-07 transactions

Mean

43.0%

42.8%

44.5%

46.0%

46.5%

46.5%

23.8%

Median

39.3%

38.6%

41.5%

42.6%

41.8%

41.8%

24.3%

$2 –

4 billion transactions

Mean

55.3%

52.3%

58.6%

56.6%

57.0%

57.0%

18.6%

Median

48.7%

46.2%

47.0%

48.7%

50.6%

50.6%

16.3%

Source:

SDC Platinum, FactSet Research Systems.

Note:

Highlighted deals represent E&P transactions.

(1)

Premium to unaffected spot prices.

Confidential

26

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