<div id="subtitle">Halliburton still recovering from plunge in energy consumption, 4th-qtr profit tumbles 48 pct</div><div><p>Halliburton said Monday it's still recovering from a plunge in U.S. energy consumption last year that forced oil drillers to pull hundreds of rigs offline, slashing the company's fourth-quarter income by 48 percent.</p><p>But the Houston oil services company expects operations in North America will eventually boost revenue in 2010. Companies are now aggressively expanding their efforts to harness natural gas deposits in vast layers of underground shale, and CEO Dave Lesar said Halliburton is one of the few companies that can keep up with demand.</p><p>As other players get out of the shale business, Halliburton should be able to charge more for its services, Lesar said.</p><p>"We don't know how long-lived the assets are, but believe me, to get that resource out of the ground is consuming services equipment very dramatically," he said.</p><p>Pierre Conner, an analyst with Capital One Southcoast Inc., said Halliburton has been expanding market share in North America for the past several quarters. If the economy continues to recover this year, Conner said he expects the company to post "above-market growth rates by being in the right places with the right sets of products and services."</p><p>The Houston company on Monday reported net income of $243 million, or 27 cents per share, for the fourth quarter — matching Wall Street's average estimate. That compares with income of $468 million, or 52 cents per share, for the final three months of 2008. Revenue fell 25 percent to $3.69 billion.</p><p>For the full year, Halliburton Co. posted net income of $1.15 billion, or $1.27 per share, compared with $2.22 billion, or $2.45 per share for 2008.</p><p>Halliburton shares slipped 8 cents to close at $31.07.</p><p>Halliburton's international business has struggled this year, with completion and production income decreasing year-over-year just about everywhere in Latin America, Europe, Africa and the Middle East. The company said Venezuela's plan to devalue its currency also will cost Halliburton $30 million in foreign exchange losses in the first quarter and another $10 million in income taxes.</p><p>Halliburton said capital spending should drop in 2010 to between $1.7 billion and $1.8 billion, from nearly $1.9 billion in 2009. International profit margins will take a hit in the first quarter as it ramps up operations in Saudi Arabia, Iraq, Indonesia and Brazil, costing about 7 to 10 cents a share.</p><p>Oil services companies, which assist producers with drilling, reservoir management and other services, struggled in 2009 as consumers burned less fuel. Crude collapsed to less than half of its current price as millions of American workers received pink slips and drove less.</p><p>As a result, major oil producers pressured companies like Halliburton Co., and rivals such as Schlumberger Ltd., to cut their fees.</p><p>Energy prices have roared back and the number of operating rigs in the U.S. is on the rise, which could give Halliburton more leverage on prices in coming months.</p><img src="http://admatch-syndication.mochila.com/images/ad.gif?aid=67771771&bid=informcom" /></div><div id="copyright"><div>

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