SPECIAL REPORT: Halliburton issues statement on Iraq situation

| 4/14/2004

Halliburton and its subsidiary Kellogg, Brown and Root late Tuesday afternoon issued the following statement following confirmation of recovered bodies in Iraq:

"We cannot confirm that these are KBR employees. While we are not yet certain of the identification of these brave individuals, and no matter who they are, we at Halliburton are saddened to learn of these deaths and are working with the authorities so the families can begin the grieving and healing process. Every member of the Halliburton team receives warnings about the dangers of this work, but these brutal attacks are unsettling and appalling. We will assist the employees' families in any way we can to comfort and sustain them throughout this difficult time.

"Our workers in Iraq are courageous volunteers in service to their country and their loved ones. They work alongside the troops in dangerous conditions, but Halliburton employees have also had to endure political derision from home. Every civilian working in Iraq needs and deserves support from Americans, especially now.

"Each of the colleagues we have lost since our work began in Iraq has brought special skills and talents that helped the soldiers and/or alleviated the suffering of the Iraqi people. We extend both our prayers and thanks to each person who has made the decision to assist in this mission.

"To protect the privacy of the employees' families, we will not release their names or discuss details of any incident at this time. We strongly urge you to respect the privacy of the families during this difficult situation."

The company posts regular updates on its Web site at www.halliburton.com, where visitors also can send notes of encouragement to Kellogg, Brown and Root employees serving in the Middle East.