Common use of Financial Reporting Matters Clause in Contracts

Financial Reporting Matters. (a) The Company agrees that it will (i) to the maximum extent permitted by GAAP, expense in 1997 all of the expenses related to the Merger and (ii) with respect to its 1997 financial results and all prior year financial results, use its reasonable best efforts to convert from the "full cost" to the "successful efforts" method of accounting. (b) The Company agrees to use its reasonable best efforts to negotiate (i) the payment by the Company of a specific amount to be paid in 1998 for the buy-down of the premium on the Company's indebtedness under the First Amended and Restated Note Purchase Agreement dated October 30, 1996 between the Company and Joint Energy Development Investments Limited Partnership, (ii) the payment by the Company of a specific amount to be paid in 1998 for the right to transfer pursuant to the Merger the right to use the Company's seismic data and (iii) the payment by the Company of the minimum investment banking fee to be paid at the earlier of the Effective Time or the termination of this Agreement.