Part II

Item 5.

Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities

Our common stock is listed on the New York Stock Exchange and trades under the symbol “XTO.” The following table sets forth quarterly high and low closing prices and cash dividends declared for each quarter of 2007 and 2006 (as adjusted for the five-for-four stock split effected in December 2007 and the May 2006 distribution of the Hugoton Royalty Trust units):

 
High
Low
Cash
Dividend
2007
  
First Quarter $ 44.46 $ 35.48 $ 0.096
Second Quarter 50.82 43.42 0.096
Third Quarter 50.37 41.98 0.096
Fourth Quarter 53.66 48.50 0.120
2006
  
First Quarter $ 38.04 $ 30.80 $ 0.060
Second Quarter 36.91 29.58 0.060
Third Quarter 38.68 31.52 0.060
Fourth Quarter 40.48 32.00 0.072

 

The determination of the amount of future dividends, if any, to be declared and paid is at the sole discretion of the Board of Directors and will depend on our financial condition, earnings and cash flow from operations, the level of our capital expenditures, our future business prospects and other matters the Board of Directors deems relevant.

In November 2007, the Board of Directors declared a five-for-four stock split of its common stock and declared a quarterly dividend of $0.12, effecting a 25% dividend increase. On February 19, 2008, the Board of Directors declared a quarterly dividend of $0.12 per common share, payable on April 15, 2008 to stockholders of record on March 31, 2008. On February 21, 2008, we had 2,074 stockholders of record.

In January 2006, the Board of Directors declared a dividend to common stockholders, consisting of all 21.7 million Hugoton Royalty Trust units owned by us. The dividend ratio of 0.047688 trust units for each common share outstanding was set on the record date of April 26, 2006. The units were distributed on May 12, 2006, when this dividend was recorded at approximately $1.35 per common share, based on the fair market value of the units on that date.

The following summarizes purchases of our common stock during fourth quarter 2007:

Month
(a)
Total Number of Shares Purchased
(b)
Average Price Paid per Share
(c)
Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs (1)
(d)
Maximum Number of Shares that May Yet Be Purchased Under the Plans or Programs
October 215,711 $ 50.78 –  
November 212,065 $ 51.52 –  
December 1,326 $ 51.82 –  
Total 429,102 (2) $ 51.15 – 22,208,000

(1) The Company has a repurchase program approved by the Board of Directors in August 2004 for the repurchase of up to 25 million shares of the Company’s common stock.

(2) Does not include performance or restricted share forfeitures. Includes 124,769 shares and 25,938 shares of common stock purchased during the quarter from employees in connection with the settlement of income tax withholding obligations upon vesting of restricted shares and performance shares, respectively, under the 2004 Stock Incentive Plan. Also includes 278,395 shares of common stock delivered or attested to in satisfaction of the exercise price upon the exercise of employee stock options under both the 1998 and 2004 Stock Incentive plans. These share purchases were not part of a publicly announced program to purchase common shares.