Limited scale of operations Nonoperator business model that depends on other "operator" companies' drilling plans High geographic concentration of reserves and production High proportion of crude oil in its reserves and production mix. Continued aggressive capital spending program to fund growth, resulting in negative free operating cash flows Hedges limit near-term crude oil price risk Adequate liquidity. The stable outlook reflects Standard&Poor's Ratings Services' view that Northern Oil and Gas Inc. should be able to fund continued production growth and preserve its credit measures at a level appropriate for the rating, with funds from operations (FFO) to debt between 20% and 30%. We could lower the rating if credit measures weakened such that the company's FFO to total
