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DRESSER INDUSTRIES, INC. SETTLES LITIGATION

 DALLAS, April 19 /PRNewswire/ -- Dresser Industries, Inc. (NYSE: DI) announced today that the Company reached an agreement to settle a lawsuit brought by Parker & Parsley Petroleum Company against Dresser and Baker Hughes, Inc. Pursuant to the terms of the agreement, the Company will pay Parker & Parsley $57.5 million. The settlement agreement will be subject to approval by the Boards of Directors of Dresser and Baker Hughes.
 The Company also announced that the settlement net of reserves and taxes will reduce fiscal 1993 earnings by approximately $24 million, or $0.18 per share. The Company believes it has insurance coverage for the amounts that will be paid by it in settlement of the litigation. However, the Company is involved in litigation with its insurance carriers with respect to such coverage and the timing and amount of such recovery is uncertain.
 In November 1990, a Federal District Court in Midland, Texas, entered a judgment against Dresser and Baker Hughes awarding Parker & Parsley $185 million in actual and punitive damages in respect of claims alleging shortages in materials supplied by Dresser, Baker Hughes and its affiliates for oil and gas well stimulation services. In March 1991, the U.S. District Court in Midland reduced the amount of the original judgment to $175 million. In September 1992, the U.S. Court of Appeals for the Fifth Circuit vacated and dismissed the judgment for lack of federal jurisdiction. Thereafter Parker & Parsley filed a new action alleging the same claims in Midland State Court.
 Headquartered in Dallas, Dresser is a leading supplier of highly engineered products and services utilized in hydrocarbon energy-related activities throughout the world.
 -0- 4/19/93
 /CONTACT: Donald R. Galletly for Dresser Industries, Inc., 214-740-6757/
 (DI)


CO: Dresser Industries, Inc. ST: Texas IN: OIL SU:

LR -- NY048 -- 7250 04/19/93 09:58 EDT
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Publication:PR Newswire
Date:Apr 19, 1993
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