Baker Hughes Announces May 2003 Rig Counts

International Rig Count Down 2% From April 2003; Up 5% From One Year Ago;

Worldwide Rig Count Up 2% From April 2003; Up 17% From One Year Ago

HOUSTON, June 6 /PRNewswire-FirstCall/ -- Baker Hughes Incorporated (NYSE: BHI; PCX; EBS) announced today that the international rig count for May 2003 was 755, down 15 from the 770 counted in April 2003, and up 37 from the 718 counted in May 2002. The international offshore rig count for May 2003 was 235, up 11 from the 224 counted in April 2003, and up 16 from the 219 counted in May 2002.

The US rig count for May 2003 was 1,035, up 52 from the 983 counted in April 2003 and up 209 from the 826 counted in May 2002. The Canadian rig count for May 2003 was 150, down one from the 151 counted in April 2003 and up 36 from the 114 counted in May 2002.

The worldwide rig count for May 2003 was 1,940, up 36 from the 1,904 counted in April 2003 and up 282 from the 1,658 counted in May 2002.

 May 2003 Rotary Rig Counts

                       May 2003 April 2003 May 2002
                    ---------------         --------------   ---------------
                    Land   OS Total   Var.  Land  OS Total   Land   OS Total
    ------------------------------------------------------------------------
      Europe          31   50    81   (2)    33   50    83     36   58    94
      Middle East    179   30   209    2    176   31   207    161   35   196
      Africa          34   20    54   (6)    39   21    60     34   22    56
      Latin America  180   58   238    0    187   51   238    158   42   200
      Asia Pacific    96   77   173   (9)   111   71   182    110   62   172
    International    520  235   755  (15)   546  224   770    499  219   718
      United States  922  113 1,035   52    878  105   983    720  106   826
      Canada         146    4   150   (1)   149    2   151    107    7   114
    North America  1,068  117 1,185   51  1,027  107 1,134    827  113   940
    ------------------------------------------------------------------------
    Worldwide      1,588  352 1,940   36  1,573  331 1,904  1,326  332 1,658
    ========================================================================


     May 2003 Workover Rig Counts

                       May 2003    Var.     April 2003 May 2002
    ------------------------------------------------------------------------
       United States    1,144        (1)      1,145           983
       Canada             255       132         123           131
    ------------------------------------------------------------------------
    North America       1,399       131       1,268         1,114
    ========================================================================

    About the Baker Hughes Rig Counts

The Baker Hughes Rotary Rig Counts are counts of the number of drilling rigs actively exploring for or developing oil or natural gas in the United States, Canada and international markets. Baker Hughes has issued the rotary rig counts as a service to the petroleum industry since 1944, when Hughes Tool Company began weekly counts of US and Canadian drilling activity. Hughes initiated the monthly international rig count in 1975. In 1987, Baker Oil Tools began its monthly workover rig count.

North American rig count data is scheduled to be released at noon central time on the last working day of each week. The international rig count and North American workover rig counts are scheduled to be released on the 5th working day of the month. Additional detailed information on the Baker Hughes rig counts are available from our website at http://www.bakerhughes.com/investor/rig .

Baker Hughes is a leading provider of drilling, formation evaluation, completion and production products and services to the worldwide oil and gas industry.

                     NOT INTENDED FOR BENEFICIAL HOLDERS

     Contact:
     Gary R. Flaharty (713) 439-8039
     gary.flaharty@bakerhughes.com
     Kyle J. Leak (713) 439-8042
     kyle.leak@bakerhughes.com 

SOURCE Baker Hughes Incorporated

/CONTACT: Gary R. Flaharty, +1-713-439-8039, or
gary.flaharty@bakerhughes.com , or Kyle J. Leak, +1-713-439-8042, or
kyle.leak@bakerhughes.com , for Baker Hughes Incorporated/
/Web site: http://www.bakerhughes.com/investor/rig http://www.bakerhughes.com /
(BHI)