Large acreage position in the Appalachian basin prospective for Marcellus, Utica, and Upper Devonian shale formations Competitive cost structure, allowing the company to remain profitable at relatively low natural gas prices Participation in the highly cyclical and capital-intensive oil and gas exploration and production (E&P) sector Expected increase in financial leverage compared with historical levels, with expected funds from operations (FFO) to debt in the 12% to 20% range (including standard adjustments) over the next two years Consistent hedging strategy provides a measure of protection from cash flow volatility History of funding a portion of development spending with the proceeds of asset sales and equity issuance The negative outlook reflects Standard&Poor's Ratings Services' expectation that Range Resources Corp.'s
