Baker Hughes Announces May 2001 Rig Counts.

Business & Energy Editors

HOUSTON--(BUSINESS WIRE)--June 7, 2001

International Rig Count up 1% from April 2001; Up 20% from 1 year ago;

Worldwide Rig Count up 3% from April 2001; Up 34% from 1 year ago

Baker Hughes Incorporated (NYSE:BHI)(PCX:BHI)(EBS:BHI) announced today that the international rig count for May 2001 was 752, up 10 from the 742 counted in April 2001 and up 125 from the 627 counted in May 2000. The international offshore rig count for May 2001 was 230, up 11 from the 219 counted in April 2001 and up 64 from the 166 counted in May 2000.

The US rig count for May 2001 was 1,234 up 28 from the 1,206 counted in April 2001 and up 389 from the 845 counted in May 2000. The Canadian rig count for May 2001 was 238 up 21 from the 217 counted in April 2001 and up 49 from the 189 counted in May 2000.

The worldwide rig count for May 2001 was 2,224 up 59 from the 2,165 counted in April 2001 and up 563 from the 1,661 counted in May 2000.

May 2001 Rotary Rig Counts

                    May 2001             April 2001        May 2000
                ---------------       ---------------   --------------
                Land   OS Total Var   Land   OS Total  Land   OS Total
----------------------------------------------------------------------
 Europe           37   61    98   9     39   50    89    38   38    76
 Middle East     145   29   174   5    141   28   169   135   21   156
 Africa           31   24    55  (5)    32   28    60    25   21    46
 Latin America   219   49   268  (2)   218   52   270   182   33   215
 Asia Pacific     90   67   157   3     93   61   154    81   53   134
International    522  230   752  10    523  219   742   461  166   627
 US            1,064  170 1,234  28  1,037  169 1,206   707  138   845
 Canada          235    3   238  21    211    6   217   185    4   189
N. America     1,299  173 1,472  49  1,248  175 1,423   892  142 1,034
----------------------------------------------------------------------
Worldwide      1,821  403 2,224  59  1,771  394 2,165 1,353  308 1,661
======================================================================

May 2001 Workover Rig Counts

                  May 2001    Var.   April 2001       May 2000
--------------------------------------------------------------
 US                 1,267      51       1,216           1,041
 Canada               290      25         265             279
--------------------------------------------------------------
North America       1,557      76       1,481           1,320
==============================================================

About the Baker Hughes Rig Counts

The Baker Hughes Rotary Rig Counts are counts of the number of drilling rigs actively exploring for or developing oil or natural gas in the United States, Canada and international markets. Baker Hughes has issued the rotary rig counts as a service to the petroleum industry since 1944, when Hughes Tool Company began weekly counts of US and Canadian drilling activity. Hughes initiated the monthly international rig count in 1975. In 1987 the Baker Oil Tools began its monthly workover rig count.

North American rig count data is scheduled to be released at noon central time on the last working day of each week. The international rig count and North American workover rig counts are scheduled to be released on the 5th working day of the month. Additional detailed information on the Baker Hughes rig counts are available from our Web site at http://www.bakerhughes.com/investor/rig.

Baker Hughes is a leading provider of drilling, formation evaluation, completion and production products and services to the worldwide oil and gas industry.

NOT INTENDED FOR BENEFICIAL HOLDERS