Core Laboratories' CEO David Demshur Forecasts Record Revenues and Earnings.Business Editors NEW YORK--(BUSINESS WIRE)--March 13, 2001 An in-depth interview with David Demshur, CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of Core Laboratories (NYSE NYSE See: New York Stock Exchange :CLB CLB Club CLB Columbus Blue Jackets (NHL hockey) CLB Combat Logistics Battalion (US Marine Corps) CLB Configurable Logic Block (microchip technology) ), in which he talks at length about the company's future. The entire 3,700-word interview is available online at http://www.twst.com/info/info299.htm Demshur gives an overview of the company. "Core Laboratories is 65 years old and has had an interesting history over the last several years. Core was an independent company until 1984 when it was acquired by the Western Geophysical Western Geophysical was a company founded in California in 1933 by Henry Salvatori for the purpose of using reflection seismology to explore for petroleum. The company prospered and was sold by Salvatori to Litton Industries in the 1960s. Division of Litton Industries Named after inventor Charles Litton Sr., Litton Industries was a large defense contractor in the United States, bought by the Northrop Grumman Corporation in 2001. . We were part of the formation of Western Atlas Western Atlas was formed in 1987 through the merger of Western Geophysical (owned by Litton Industries) and Dresser Atlas. The resulting company was a joint venture of Litton and Dresser Industries until it was spun off as a publicly traded company in 1994. in 1987 and were divested by Western Atlas in 1994. Core Lab was bought by a management team that consisted of myself and 13 other senior managers of the company. The Company did an IPO (Initial Public Offering) The first time a company offers shares of stock to the public. While not a computer term per se, many founders, employees and insiders of computer companies have found this acronym more exciting than any tech term they ever heard. in 1995. We have become the most technologically advanced, uniquely focused reservoir optimization company in the oilfield services industry." Demshur explains, "Traditionally, analysts have gauged the company to grow at a rate that's some 300 - 400 basis points faster than the growth of the market. We indeed, during the last cycle, did grow at a faster pace than the capital expenditures from our clients, owing to Core's proprietary and patented technologies. In earnings for this year in 2001, analysts are now modeling a growth in earnings from 2000 to 2001 of about 65% - 70%. There have been some analysts who have come out with numbers in 2002 and again they're showing another significant jump and in some cases, more than 40% growth in earnings looking at 2002." Looking forward, Demshur states, "For Core, we're taking more and more of our reservoir optimization services to the wellsite. We're trying to deliver a lot more services downhole. For instance our downhole seismic endeavor where we lower a seismic source down a well as well as seismic receivers. So assets to get us down the well are something that we would be interested in. Companies providing integrated geological and geophysical studies for reservoir optimization would complement our existing technologies. Other technology that we would be interested in is -- understanding more about multi-phase fluid-flow through the reservoir." |
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