Amerada Hess Corporation and Consolidated Subsidiaries For the Years Ended December 31 Millions of dollars, except per share data 2003 2002 2001 REVENUES AND NON-OPERATING INCOME Sales (excluding excise taxes) and other  operating revenues $14,311 $11,551 $13,052 Non-operating income (expense) Gain on asset sales 39 143 GLYPH<209> Equity in income (loss) of HOVENSA L.L.C. 117 (47) 58 Other 13 85 150 Total revenues and non-operating income 14,480 11,732 13,260 COSTS AND EXPENSES Cost of products sold 9,947 7,226 8,739 Production expenses 796 736 642 Marketing expenses 709 703 663 Exploration expenses, including dry holes and lease impairment 369 316 347 Other operating expenses 192 165 213 General and administrative expenses 340 253 311 Interest expense 293 256 194 Depreciation, depletion and amortization 1,053 1,118 833 Asset impairments GLYPH<209> 1,024 GLYPH<209> Total costs and expenses 13,699 11,797 11,942 Income (loss) from continuing operations before income taxes 781 (65) 1,318 Provision for income taxes 314 180 502 Income (loss) from continuing operations  467 (245) 816 Discontinued operations Net gain from asset sales 116 GLYPH<209> GLYPH<209> Income from operations  53 27 98 Cumulative effect of change in accounting principle 7 GLYPH<209> GLYPH<209> NET INCOME (LOSS) $ 643 $ (218) $ 914 Less preferred stock dividends 5 GLYPH<209> GLYPH<209> NET INCOME (LOSS) APPLICABLE TO COMMON SHAREHOLDERS $ 638 $ (218) $ 914 BASIC EARNINGS (LOSS) PER SHARE Continuing operations $ 5.21 $ (2.78) $ 9.26 Net income (loss) 7.19 (2.48) 10.38 DILUTED EARNINGS (LOSS) PER SHARE Continuing operations $ 5.17 $ (2.78) $ 9.15 Net income (loss) 7.11 (2.48) 10.25 See accompanying notes to consolidated GLYPH<222>nancial statements. 36 STATEMENT OF CONSOLIDATED INCOME