Marathon Oil Corporation Announces Increase in Exchangeable Share Ratio
HOUSTON, Feb. 18 /PRNewswire-FirstCall/ -- Marathon Oil Corporation (NYSE: MRO) announced on Feb. 2, 2009, that the Company's board of directors declared a dividend of 24 cents per share on Marathon Oil Corporation's common stock. The dividend is payable March 10, 2009 to stockholders of record Feb. 18, 2009.
In connection with Marathon's acquisition of Western Oil Sands Inc. and the terms of the provisions applicable to the exchangeable shares, the ratio at which exchangeable shares may be exchanged for shares of Marathon common stock is subject to adjustment to account for cash dividends paid on Marathon common stock that are not matched by dividends paid to holders of the exchangeable shares.
For former shareholders of Western Oil Sands Inc. who hold exchangeable shares, the new exchange ratio is 1.03723. The new exchange ratio will take effect on March 10, 2009 and will remain in effect until the next payment of a cash dividend.
The New Exchange Ratio is calculated as follows:
Current Exchange Ratio 1.02811
Increase in Exchange Ratio* 0.00911
New Exchange Ratio 1.03723
Effective Date of the New Exchange Ratio March 10, 2009
* The increase in the Exchange Ratio is calculated by multiplying the Marathon dividend per share of common stock by the Opening Exchange Ratio and dividing by the five day weighted average trading price of MRO common stock on the date that is three business days prior to the Marathon dividend record date.
Media Relations Contacts: Lee Warren 713-296-4103
Leslie Hiltabrand 713-296-4102
Investor Relations Contacts: Howard Thill 713-296-4140
Chris Phillips 713-296-3213
Michol Ecklund 713-296-3919
