A software glitch led Oneok to reduce its 2005 net income by $8.1 million (8 cents/share) and its energy services operating income by $13.2 million and raise its 1Q2006 earnings by similar amounts.

The company said the software error affected the timing of the recognition of changes in the fair value of derivatives/hedges in the company’s energy services segment during 2005. The amounts are recorded as cost of sales and fuel in the company’s consolidated statement of income.

As a result, the company is raising its 2006 guidance in its energy services segment to $183 million from $170 million, which will result in revised company guidance in the range of $2.30 to $2.36 per diluted share of common stock.

Revised 2005 net income was $546.6 million, or $5.06 per diluted share, compared with $242.2 million, or $2.30 per diluted share of common stock in 2004. Revised 2005 income from continuing operations was $403.1 million, or $3.73 per diluted share, compared with 2004 income from continuing operations of $224.7 million, or $2.13 per diluted share.

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