EXHIBIT 2
Page 1 of 2
TAX-ADVANTAGED SAVINGS PLAN OF
POGO PRODUCING COMPANY
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR PLAN BENEFITS, WITH FUND
INFORMATION
FOR THE YEAR ENDED DECEMBER 31, 1997
NONPARTICIPANT-
PARTICIPANT-DIRECTED DIRECTED
--------------------------------------------------------------------- ------------
POGO MONEY CORPORATE INDEX POGO
COMMON STOCK MARKET BOND WELLINGTON 500 PRIMECAP COMMON
FUND FUND FUND FUND FUND FUND STOCK FUND TOTAL
----------- --------- --------- ----------- --------- ----------- ------------ -----------
INTEREST/DIVIDEND INCOME ......... $ 8,441 $ 45,349 $ 37,298 $ 99,000 $ 15,272 $ 81,271 $ 27,834 $ 314,465
NET APPRECIATION (DEPRECIATION) IN
MARKET VALUE OF INVESTMENTS .... (1,220,727) -- 25,389 112,030 155,458 492,180 (4,197,240) (4,632,910)
CONTRIBUTIONS .................... 222,754 37,139 34,917 121,664 127,490 199,652 594,324 1,337,940
WITHDRAWALS AND TERMINATIONS ..... (268,499) (1,090) (5,087) (10,084) (8,429) (14,124) (461,652) (768,965)
INTERFUND TRANSFERS .............. 34,785 44,930 (63,328) 41,977 (16,342) (42,022) -- --
----------- --------- --------- ----------- --------- ----------- ------------ -----------
INCREASE (DECREASE) IN NET
ASSETS AVAILABLE FOR PLAN
BENEFITS ....................... (1,223,246) 126,328 29,189 364,587 273,449 716,957 (4,036,734) (3,749,470)
NET ASSETS AVAILABLE FOR PLAN
BENEFITS, beginning of year .... 3,175,382 749,470 503,361 822,594 492,873 1,535,338 10,826,375 18,105,393
----------- --------- --------- ----------- --------- ----------- ------------ -----------
NET ASSETS AVAILABLE FOR PLAN
BENEFITS, end of year .......... $ 1,952,136 $ 875,798 $ 532,550 $ 1,187,181 $ 766,322 $ 2,252,295 $ 6,789,641 $14,355,923
=========== ========= ========= =========== ========= =========== ============ ===========
This exhibit is an integral part of the accompanying financial statements.
EXHIBIT 2
Page 2 of 2
TAX-ADVANTAGED SAVINGS PLAN OF
POGO PRODUCING COMPANY
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR PLAN BENEFITS, WITH FUND
INFORMATION
FOR THE YEAR ENDED DECEMBER 31, 1996
NONPARTICIPANT-
PARTICIPANT-DIRECTED DIRECTED
--------------------------------------------------------------------- ------------
POGO MONEY CORPORATE INDEX POGO
COMMON STOCK MARKET BOND WELLINGTON 500 PRIMECAP COMMON
FUND FUND FUND FUND FUND FUND STOCK FUND TOTAL
----------- --------- --------- ---------- --------- ----------- ------------ -----------
INTEREST/DIVIDEND INCOME ........ $ 8,073 $ 38,117 $ 42,104 $ 63,700 $ 10,522 $ 44,610 $ 27,268 $ 234,394
NET APPRECIATION (DEPRECIATION)
IN MARKET VALUE OF INVESTMENTS 1,293,416 -- (36,040) 50,526 78,923 175,632 4,352,801 5,915,258
CONTRIBUTIONS ................... 174,125 31,561 36,841 109,929 84,688 171,381 470,992 1,079,517
WITHDRAWALS AND TERMINATIONS .... (103,016) (35,467) (20,880) (28,565) (22,194) (60,131) (478,708) (748,961)
INTERFUND TRANSFERS ............. (133,042) 47,435 (22,105) (34,765) (29,964) 172,441 -- --
----------- --------- --------- --------- --------- ----------- ------------ -----------
INCREASE (DECREASE) IN NET ASSETS
AVAILABLE FOR PLAN BENEFITS ... 1,239,556 81,646 (80) 160,825 121,975 503,933 4,372,353 6,480,208
NET ASSETS AVAILABLE FOR PLAN
BENEFITS, beginning of year ... 1,935,826 667,824 503,441 661,769 370,898 1,031,405 6,454,022 11,625,185
----------- --------- --------- --------- --------- ----------- ------------ -----------
NET ASSETS AVAILABLE FOR PLAN
BENEFITS, end of year ......... $ 3,175,382 $ 749,470 $ 503,361 $ 822,594 $ 492,873 $ 1,535,338 $ 10,826,375 $18,105,393
=========== ========= ========= ========= ========= =========== ============ ===========
This exhibit is an integral part of the accompanying financial statements.
SCHEDULE I
TAX-ADVANTAGED SAVINGS PLAN OF
POGO PRODUCING COMPANY
ITEM 27(A) - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES
DECEMBER 31, 1997
DESCRIPTION OF NUMBER OF CURRENT
IDENTITY OF ISSUE INVESTMENT SHARES/UNITS COST VALUE
----------------- ---------- ------------ ---- -----
Pogo Producing
Company* Common stock 295,077 $6,061,515 $8,704,772
Prime Portfolio Money
Vanguard* Market Fund 870,442 870,442 870,442
Investment Grade
Corporate Portfolio
Vanguard* Bond Fund 56,992 512,120 527,742
Vanguard* Wellington Fund 40,068 939,542 1,180,000
Index Trust - 500
Vanguard* Portfolio 8,425 486,907 758,867
Vanguard* PrimeCap Fund 56,615 1,413,823 2,240,276
--------- ---------
$10,284,349 $14,282,099
=========== ===========
*Indicated party in interest.
TAX-ADVANTAGED SAVINGS PLAN OF
POGO PRODUCING COMPANY
ITEM 27(D) - SCHEDULE OF REPORTABLE TRANSACTIONS
FOR THE YEAR ENDED DECEMBER 31, 1997
IDENTITY OF PARTY CURRENT VALUE NET
------------------ PURCHASE SELLING COST OF OF ASSET ON GAIN
INVOLVED DESCRIPTION OF ASSET TRANSACTION PRICE PRICE ASSET TRANSACTION DATE (LOSS)
-------- -------------------- ----------- --------- ------- ------- ---------------- --------
Vanguard Prime Portfolio Money Market Fund 76 purchase $1,050,923 $ - $ - $1,050,923 $-
transactions
Vanguard Prime Portfolio Money Market Fund 24 sale - 925,992 925,992 925,992 -
transactions
NOTE: This schedule is a listing of a series of purchase and sale
transactions in the same security which exceeded 5 percent of the Plan assets as
of January 1, 1997.
(b) Exhibits --
1. Consent of Arthur Andersen LLP, Independent Public Accountants
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
trustees (or other persons who administer the employee benefit plan) have duly
caused this annual report to be signed on its behalf by the undersigned hereunto
duly authorized.
TAX-ADVANTAGED SAVINGS PLAN OF
POGO PRODUCING COMPANY
/s/ JOHN O. McCOY, JR.
--------------------------------------
By: John O. McCoy, Jr.
Member of the Administrative Board
Date: June 26, 1998
EXHIBIT INDEX
Exhibit
Number Description
- ------- -----------
23.1 -- Consent of Arthur Andersen LLP