Baker Hughes 2009 Annual Report Download - page 8

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Baker Hughes is committed to hiring local talent
within our regions, and to developing that talent
to fill leadership roles at the geomarket, region and
hemisphere levels.
Looking forward, gas-directed drilling
in North America is gradually increasing,
and we believe this trend will likely con-
tinue through 2010. However, strength of
the unconventional gas business is depen-
dent on continued improvement in supply
and demand fundamentals and natural
gas prices.
Internationally, we believe that customer
spending reached its low point in the third
quarter of 2009. Forecasts for increasing
economic growth – particularly in China,
India and the Middle East – combined with
modest spare production capacity, are sup-
porting higher oil prices and laying the
foundation for increased spending in 2010.
In the long term, significantly higher
exploration and development activity will be
needed to offset production declines and
ultimately grow energy supplies. As the
worldwide economy recovers, demand for
our technologies and services will increase.
With our new customer-focused organiza-
tion and our strategic actions, which include
the planned merger with BJ Services, we
believe that we are emerging from this cycle
a stronger global competitor.
In closing, I thank our stockholders and
customers for their confidence in Baker
Hughes as we took bold steps to transform
our company in 2009.
I also recognize the contributions of our
employees, who have worked hard to serve
our customers while adopting a new organi-
zation and business model that will enable
long-term growth and profitability.
Sincerely,
Chad C. Deaton
Chairman, President and CEO
With our new customer-focused organization and our strategic actions, which
include the planned merger with BJ Services, we believe that we are emerging
from this cycle a stronger global competitor.
Shale Gas Plays
Cody
Gammon
Bakken
Athabasca-Peace River-Cold Lake
Horn River
Hilliard-Baxter-Mancos
Hermosa
Mancos
Pierre
Eagle Ford
Pearsall-Eagle Ford
Barnett-
Woodford
Bend
Barnett
Excello
Mulky
Woodford
Woodford-
Caney
Fayetteville
Chattanooga
New Albany
Antrim
Devonian-Marcellus-Utica
Conasauga
Floyd-
Neal
Haynesville
Lewis
6 Baker Hughes Incorporated