Thread regarding ConocoPhillips layoffs

40% cut research center global production

Any word on Bartlesville research center cuts?

You have received a considerable amount of information in the last two days about decisions and projected impacts from the company’s COST project. During this period of change, I know there is considerable uncertainty, which is impacting everyone. Our commitment is to be as transparent as we can when decisions are made and to treat everyone respectfully and with compassion as we implement changes necessary to meet our new business environment.

The Lower 48 target was to reduce our overall costs (both G&A and lifting) by at least $182 million through sustainable changes including philosophical shifts, process improvements and organizational changes. These changes will position us for the low commodity price environment and allow us to powerfully move forward when the time is right to develop our Lower 48 assets at a pace consistent with their potential.

Our recommendations were approved by the ELT last week. At the conclusion of last week’s meeting, I directed Lower 48 leaders to begin implementation of our plan to meet the expected timelines and deliverables.

Some specific decisions that will affect our business:

• A new organizational design will result in a change from four business units to three in the Lower 48. The primary change will be the merger of the Rockies and San Juan assets into a single business unit called the Rockies Business Unit. Not only does this offer cost savings, but also the opportunity to join a significant base resource business like San Juan with developing assets like Bakken and Niobrara. While leadership decisions will be announced at a later date, we do expect the VP, RBU to be located in Houston with an Asset Manager responsible for San Juan located in Farmington.

• Beginning in October, layoff notices will be issued to approximately 16 percent (about 600) of Lower 48 employees, affecting all locations and all levels of the organization. These numbers do not include impacts from potential asset sales. Notifications are expected to take place by mid-October.

• The company will adopt a number of changes, including a shift in accountability from corporate to the business units in the areas of HSE, audits and Operational Excellence. I’m part of a new ConocoPhillips team on Change Management, which should provide me with much more to share with you on this subject in the near future. This is really about working to be more efficient while putting accountability where it belongs.

In light of all the change and uncertainty, it is important to remember that the ConocoPhillips SPIRIT values and our commitment to them have not changed. Our primary focus and number one goal is still improving safety, both process and personal. Please continue to give full attention to your work and how to safely accomplish it, with an eye toward becoming more efficient and effective in the application of all our values.

I said I would share new information with you as early as possible to make you aware of actions in the coming days and weeks that will impact Lower 48 employees and business activities. I realize you will have more questions than we have answers, but we will work to keep you updated as decisions are made.

Thank you to everyone in the Lower 48 for your hard work and contributions to ConocoPhillips.

Don

Dear Colleagues:

As a follow-up to Ryan’s email on the COST Project, it has been determined that of the positions being permanently eliminated, more than 500 of them will be in Houston.

We are required by the Worker Adjustment and Retraining Notification Act of 1988 (“WARN Act”) to provide affected employees with 60 days advance notice of workforce reductions as well as notify the Texas Workforce Commission and others of our plans. As such, you are receiving this notification because you are in a role that could be affected by the reductions.

We expect employment end dates to occur between Oct. 30, 2015 and Nov. 13, 2015. There are no bumping rights – in other words, seniority will not be a factor in the staffing process.

The following Houston-area locations will be affected by the reductions: 600 N. Dairy Ashford Road; 550 Westlake Park Boulevard; 580 Westlake Park Boulevard; 900 Threadneedle; 14701 St. Mary's Lane; 16340 Park Ten Place; 16290 Katy Freeway; 330 Barker Cypress Road; 16901 JFK Boulevard; and 3000 Post Oak Boulevard.

Should you have any questions, please speak with your HR Business Partner.

James McMorran

VP, Human Resources and Real Estate & Facilities Services

We were told today that the Global Production group in Houston will be cut by 40%.

To 145682: best wishes for you.

Sent on behalf of President Ken Lueers

I want to follow up on Ryan’s communication today with some information specific to the Canada Region.

As part of the global challenge to achieve $1 billion in controllable cost savings, Canada was given a target to reduce controllable costs by US$117 million. We have been working hard to reduce expenditures wherever possible and continue to pull every lever we can to find savings. We knew this wouldn’t be easy and we knew we wouldn’t be able to reach this target without taking a serious look at how we work and what we can truly afford in this challenging price environment. Ultimately we had to make some very difficult decisions around reductions to our workforce.

We anticipate that approximately 15 percent of our Canadian workforce will be affected, with the majority coming from our Calgary office. This will impact about 400 employees and 100 contractors.

The bulk of our reductions will be completed by the middle of October, although we will be staggering the process and you will see some of our more senior leaders leaving in September.

I know the weeks ahead will be stressful. Please take care of yourself and those around you. Our Employee and Family Assistance Program provides excellent support and services and I encourage you to take advantage of these.

Ken

You were let go today?