EXHIBIT 9.1
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BAYTEX ENERGY LTD.
PRO FORMA INTEREST COVERAGE
(ALL FIGURES IN CANADIAN DOLLARS UNLESS OTHERWISE STATED)
(000'S)
YEAR ENDED DECEMBER 31, 2002 YEAR ENDED MARCH 31, 2003
AS PRO AS PRO
REPORTED ADJUSTMENT FORMA REPORTED ADJUSTMENT FORMA
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(note 1) (note 1)
NET INCOME
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Interest Expense 25,217 2,473 27,690 26,044 2,440 28,484
Future Taxes 37,956 1,086 39,042 50,930 1,071 52,001
Net Income 45,136 1,388 43,748 70,775 1,369 69,406
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Earning before Interest and Taxes 108,309 110,481 147,749 149,892
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Interest coverage ratio 4.3 4.0 5.7 5.3
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CASH FLOW
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Interest on long-term debt 25,217 2,473 27,690 26,044 2,440 28,484
Cash flow from operations 191,086 2,473 188,613 205,668 2,440 203,228
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Interest coverage ratio 7.6 6.8 7.9 7.1
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NOTE 1
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Interest on US$150,000 15,750 15,750
Exchange rate 1.5704 1.5494
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Canadian $ 24,734 24,403
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Interest on US$180,000 17,325 17,325
Exchange rate 1.5704 1.5494
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Canadian $ 27,207 26,843
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Difference 2,473 2,440
Future Tax impact (43.9%) 1,086 1,071
Net Income impact 1,388 1,369