Crescent Point Announces Management Changes and Provides an Update on Dispositions - Seite 2

The Company’s revised business strategy is reprioritizing key value drivers, including continuing improvement of the balance sheet, disciplined capital allocation and cost reductions. These value drivers are expected to result in improved rates of return on capital employed, debt adjusted per share metrics, free cash flow generation and, ultimately, the Company’s long-term sustainability. More specific details on Crescent Point’s revised strategy will be communicated subsequent to a formal portfolio review, which is currently underway.  

The Company’s updated guidance for 2018, which is set forth below, reflects the announced dispositions of non-core assets and does not reflect potential changes that may be implemented as part of Crescent Point’s new strategic direction.

2018 Guidance Total average annual production (boe/d)   % Oil and NGLs	Prior 183,500 90%		Revised 181,000 90%
Exit production (boe/d)		195,000		190,000
Total capital expenditures, before net land and property acquisitions ($ million) (1)		$1,775		$1,775

(1)  The projection of capital expenditures excludes property and land acquisitions, which are separately considered and evaluated.

Non-GAAP Financial Measures

In this press release, the Company uses the terms “return on capital employed” and “free cash flow generation”. These terms do not have standardized meaning as prescribed by IFRS and, therefore, may not be comparable with the calculation of similar measures presented by other issuers. Return on capital employed is defined as return on average capital employed and is calculated as earnings before interest and taxes divided by average capital employed. Free cash flow is calculated as funds flow from operations less capital expenditures.