6 | LETTER TO SHAREHOLDERS vs. an asset gatherer — namely, lower debt and higher returns on capi- tal. The market has received this plan with favor to date as our stock  price is already up 30% in the first quarter of 2011. In addition, having  recently closed the sale of our Fayetteville Shale assets to BHP Billiton  and recently initiated tender offers for repayment of at least $2.0 billion  of our long-term debt, we are already close to accomplishing the 25%  long-term debt reduction portion of our 25/25 Plan. Now we will focus  on delivering the other part of the equation, 25% growth in production  by year-end 2012. factories can run in harvest mode for decades to come, which hopefully  can lead to a $100 stock price by year-end 2015. Again, this would be a  very considerable achievement, but your management team enjoys big  challenges and we look forward to discussing it further with you in the  quarters ahead.  Beyond the next two years, there will be many other benefits of the  three-way transition we began in 2010. In fact, we are increasingly con - fident that we can double our cash flow and net income by year-end  2015. By accomplishing these goals and also having our historic trading  multiples expand a bit, we are hopeful that we can achieve a $100 stock  price by year-end 2015, perhaps creating the need for a “100/15” plan in  the process! Clearly it would be an ambitious goal, and to achieve it we  will need the world’s economy to continue growing, China and other  emerging economies to continue their rapidly growing thirst for oil and  natural gas, our new plays to meet expectations, oil prices to remain  strong and natural gas prices not to weaken from where they are today.  However, Chesapeake’s growth from here on will be very mechanical  with our “factories” (meaning both our individual wells and our large  plays) needing only four inputs for success: land, science, people and  capital. We now have gathered enough of these four inputs so that our  Great Assets = A Great Future The very significant upward trajectory of value creation that Chesapeake  is on today is primarily driven by the quality of our assets, which feature  dominant positions in 16 of the 20 most important major unconvention - al natural gas and liquids plays in the U.S. — the Barnett, Haynesville, Bossier, Marcellus, Eagle Ford, Pearsall, Niobrara and Utica shales  and the Granite Wash, Cleveland, Tonkawa, Mississippian, Bone Spring,  Avalon, Wolfcamp and Wolfberry tight sands and fractured carbonates.  Having only missed the Bakken Shale play in the Williston Basin, having passed on the Cana Shale play in Oklahoma and having sold out of the Woodford and Fayetteville shale plays in Oklahoma and Arkansas  (for overall value creation of $5.4 billion), Chesapeake’s unrivaled posi - tion in the 16 other major U.S. unconventional plays is remarkable and  unprecedented and should form the foundation of further substantial  value creation for Chesapeake’s shareholders for decades to come.  The gathering of these assets has been hard work for our employ - ees and management team, and during 2010 it stretched our balance  sheet and tested the patience of some of our shareholders. What is  clear now, however, is that we have created a tremen - dous storehouse of value and an abundance of oppor- tunities for bountiful harvests for years to come for our  shareholders.  Given the importance of these 16 unconventional  plays, I have provided below a brief summary of our posi- tion in each of them: Barnett Shale  — Discovered in the 1990s, the Barnett is the  granddaddy of all U.S. shale plays. Chesapeake acquired  its first assets in the Barnett in 2001, and in 2005 we began  aggressively leasing in the core of the play in Johnson and  Tarrant counties. Today we own approximately 220,000  net leasehold acres, on which we estimate we could drill  up to 2,300 future net wells in addition to our 965 net  wells currently producing. We are currently using 18 rigs to  develop this inventory of drillsites and our gross operated  production in the Barnett recently set a record of more  than 1.3 bcfe per day.  Our most important development in the Barnett Shale  during 2010 was closing the joint venture agreement on  25% of our assets in the Barnett to Paris-based Total,  the fifth-largest oil company in the world. Total paid  The knowledge and experience Chesapeake gained in the Barnett Shale, the granddaddy  of all U.S. shale plays, has been instrumental in the company’s successful development of all subsequent unconventional natural gas and liquids plays.