Issue of Debt

     
BW20030630002041  20030630T135755Z UTC


( BW)(SCHLUMBERGER-LD.)(SCL) Issue of Debt

    Business Editors
    UK REGULATORY NEWS

    NEW YORK--(BUSINESS WIRE)--June 30, 2003--

Schlumberger Limited (NYSE:SLB) announced today that certain of its
subsidiaries have made announcements regarding the tender offers
launched on June 12th.

Schlumberger SA has accepted to purchase all of the tendered 5.25%
Guaranteed Euro Bonds due 2008 under the offer that expired on June
27th. This represents 68% of the total bonds outstanding. The total
consideration will be approximately $756 million including accrued
interest.

As a result of this acceptance, Schlumberger will record an
after-tax charge in the second quarter of $81 million, which includes
both market and tender premiums and transaction costs. At current
rates of exchange, this bond retirement will reduce Schlumberger SA
interest expense by $36 million per year and consolidated Schlumberger
interest expense by $22 million per annum net of the 1.5% interest
expense due on the convertible debentures issued June 4th.

Schlumberger SA ("SSA") and Schlumberger plc ("SPLC") announced
that they have received tenders for 40% and 93%, respectively, of the
SSA 5.875% Guaranteed Euro Bonds due 2011 and the SPLC 6.25%
Guaranteed Sterling Bonds due 2008, and that they have increased their
offers, which expire July 15th, to include any and all of the
respective bonds. As a result, Schlumberger expects to record and
announce further charges and related interest expense savings in the
third quarter.

About Schlumberger

Schlumberger is a global oilfield and information services company
with major activity in the energy industry. The company employs 78,000
people of more than 140 nationalities working in 100 countries and
consists of three primary business segments. Schlumberger Oilfield
Services is the world's premier oilfield services company supplying a
wide range of technology services and solutions to the international
oil and gas industry. WesternGeco, jointly owned with Baker Hughes, is
the world's largest and most advanced surface seismic company.
SchlumbergerSema is a leading supplier of IT consulting, systems
integration, and network and infrastructure services to the energy
industry, as well as to the public sector, telecommunications and
finance markets. In 2002, Schlumberger revenue was $13.5 billion. For
more information, visit www.slb.com.

   Short Name: Schlumberger Ld.
   Category Code: IOD
   Sequence Number: 00006494
   Time of Receipt (offset from UTC): 20030630T143402+0100

    --30--ac/uk*

    CONTACT: Schlumberger Ld.
             Investor Relations
             Christian Lange
             Tel: [phone]
             or
             Paulo Loureiro - North America
             Tel: [phone]
             Kamilla Gam Nielsen - Europe
             Tel: [phone]


    KEYWORD: NEW YORK UNITED KINGDOM INTERNATIONAL EUROPE
    INDUSTRY KEYWORD: ENERGY OIL/GAS EARNINGS 
    SOURCE: Schlumberger Ld.

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