BHI Signs Letter of Intent to Sell EIMCO

HOUSTON, Aug 13, 2002 -- Baker Hughes Incorporated (NYSE: BHI; PCX; EBS) announced today that it has signed a letter of intent to negotiate with Groupe Laperriere & Verreault (GL&V) of Montreal, Canada (Toronto: GLV.A, GLV.B) to conclude a definitive agreement for the sale of EIMCO Process Equipment ("EIMCO"), a division of its Process segment. Any sale would be subject to various conditions, including GL&V's satisfactory due diligence review of EIMCO's business, regulatory approvals, the negotiation and execution of a definitive sale agreement, purchaser's financing, and approval by both the Baker Hughes and GL&V boards of directors. The transaction is expected to close in the fourth quarter of 2002.

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

URL: http://www.bakerhughes.com