Impact of Holiday on BHI LYONs Redemption Clarified

HOUSTON--(BUSINESS WIRE)--May 22, 2001--In response to questions from holders of the company's Liquid Yield Option Notes due 2008(TM) (LYONs(TM)) regarding the impact of the Memorial Day holiday, Baker Hughes Incorporated (NYSE:BHI) (PCX:BHI) (EBS:BHI) announced today that although the redemption date of the LYONs is May 28, 2001, the indenture governing the LYONs provides that payment of the redemption price will be made beginning on May 29, 2001 upon surrender of the notes. Additionally, the indenture provides that holders of the LYONs may submit their notes for conversion to the trustee by the close of business on May 29, 2001.

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

--30--MJB/ho*

CONTACT: Baker Hughes, Houston
Gary R. Flaharty, 713/439-8039
gary.flaharty@bakerhughes.com
or
Kyle J. Leak, 713/439-8042
kyle.leak@bakerhughes.com