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GET READY FOR PHILLIPS PETROLEUM'S CHANGES TO IMPROVE ITS BOTTOM LINE

Earnings are kicking into high gear for Phillips Petroleum Co. (NYSE: P). Speaking to the Houston Producers Forum, Jim Mulva, the Bartlesville, Okla., domestic integrated oil company's chairman and chief executive officer, explained that the company has undergone a radical strategic realignment since he took its helm in July 1999.

The changes included Phillips Petroleum's purchase of Atlantic Richfield Co.'s Alaskan assets earlier this year when the Los Angeles major became part of B.P. Plc. (NYSE: BP). The deal more than doubled Phillips's proved reserves to 3.1 billion barrels of oil and 6.6 trillion cubic feet of gas.

Analysts have taken note. Edward Maran, of A.G. Edwards and ...

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