During the fourth quarter of 2010, Schlumberger issued
€
1.0 billion 2.75% Guaranteed Notes due under this
program. Schlumberger entered into agreements to swap these euro notes for US dollars on the date of issue
until maturity, effectively making this a US denominated debt on which Schlumberger will pay interest in
US dollars at a rate of 2.56%. During the first quarter of 2009, Schlumberger issued
€
1.0 billion 4.50%
Guaranteed Notes due 2014 under this program. Schlumberger entered into agreements to swap these euro
notes for US dollars on the date of issue until maturity, effectively making this a US dollar denominated debt
on which Schlumberger will pay interest in US dollars at a rate of 4.95%.
Š
On April 17, 2008, the Schlumberger Board of Directors approved an $8 billion share repurchase program for
shares of Schlumberger common stock, to be acquired in the open market before December 31, 2011. On
July 21, 2011, the Schlumberger Board of Directors approved an extension of this repurchase program to
December 31, 2013. Schlumberger had repurchased $7.12 billion of shares under this program as of
December 31, 2012.
The following table summarizes the activity under this share repurchase program during 2012, 2011 and 2010:
(Stated in thousands except per share amounts)
Total cost
of shares
purchased
Total number
of shares
purchased
Average
price paid
per share
2012
$ 971,883
14,087.8
$68.99
2011
$2,997,688
36,940.4
$81.15
2010
$1,716,675
26,624.8
$64.48
Š
Cash flow provided by operations was $6.8 billion in 2012, $6.1 billion in 2011 and $5.5 billion in 2010.
In recent years, Schlumberger has actively managed its activity levels in Venezuela relative to its accounts
receivable balance, and has recently experienced an increased delay in payment from its national oil company
customer there. Schlumberger operates in approximately 85 countries. At December 31, 2012, only five of
those countries (including Venezuela) individually accounted for greater than 5% of Schlumberger’s accounts
receivable balance of which only one, the United States, represented greater than 10%.
Š
Dividends paid during 2012, 2011 and 2010 were $1.43 billion, $1.30 billion and $1.04 billion, respectively.
On January 17, 2013, Schlumberger announced that its Board of Directors had approved an increase in the
quarterly dividend of 13.6%, to $0.3125.
On January 19, 2012, Schlumberger announced that its Board of Directors had approved an increase in the
quarterly dividend of 10%, to $0.275.
On January 21, 2011, Schlumberger announced that its Board of Directors had approved an increase in the
quarterly dividend of 19%, to $0.25.
Š
Capital expenditures were $4.7 billion in 2012, $4.0 billion in 2011 and $2.9 billion in 2010. Capital
expenditures are expected to approach $3.9 billion for the full year 2013.
Š
During 2012, 2011 and 2010 Schlumberger made contributions of $673 million, $601 million and $868 million,
respectively, to its postretirement benefit plans. The US pension plans were 82% funded at December 31, 2012
based on the projected benefit obligation. This compares to 87% funded at December 31, 2011.
Schlumberger’s international defined benefit pension plans are a combined 88% funded at December 31, 2012
based on the projected benefit obligation. This compares to 88% funded at December 31, 2011.
Schlumberger currently anticipates contributing approximately $650 million to its postretirement benefit
plans in 2013, subject to market and business conditions.
Š
There were $321 million outstanding Series B debentures at December 31, 2009. During 2010, the remaining
$320 million of the 2.125% Series B Convertible Debentures due June 1, 2023 were converted by holders into
8.0 million shares of Schlumberger common stock and the remaining $1 million of outstanding Series B
debentures were redeemed for cash.
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