Diversified asset base Large exposure to high oil prices Elevated cost structure compared with that of peers Underperformance leading to limited production and reserve growth Strong credit measures (debt-to-EBITDA below 2.3x) that we expect to continue Flexible capital program Conservative financial policy The stable outlook reflects Standard&Poor's Ratings Services' expectation that while Talisman Energy Inc. undergoes a new strategy to bolster its operating efficiency and production growth it will maintain its strong credit measures. Using our base-case commodity price assumptions for its expected production profile and capex spending, we believe the company should maintain a debt-to-EBITDAX below 2.3x in our two-year forecast period. An upgrade would be contingent upon Talisman strengthening its business risk profile--for example, if the
