X0202 4 2007-06-06 1 0001015293 HOUSTON EXPLORATION CO THX 0001195325 CATELL ROBERT B KEYSPAN CORPORATION ONE METROTECH CENTER BROOKLYN NY 11201-3850 1 0 0 0 common stock ($0.01 par value) 2007-06-06 4 D 0 9788 D 0 D stock option (right to buy) 20.81 2007-06-06 4 D 0 7000 39.21 D 2007-09-22 common stock 7000 0 D stock option (right to buy) 18.56 2007-06-06 4 D 0 2000 41.46 D 2008-09-21 common stock 2000 0 D stock option (right to buy) 20.94 2007-06-06 4 D 0 2000 39.08 D 2009-09-20 common stock 2000 0 D stock option (right to buy) 26.19 2007-06-06 4 D 0 2000 33.83 D 2010-09-20 common stock 2000 0 D stock option (right to buy) 25.48 2007-06-06 4 D 0 2000 34.54 D 2011-09-20 common stock 2000 0 D stock option (right to buy) 28.80 2007-06-06 4 D 0 2000 31.22 D 2012-09-20 common stock 2000 0 D stock option (right to buy) 35.11 2007-06-06 4 D 0 2000 24.91 D 2013-09-22 common stock 2000 0 D Pursuant to the Agreement and Plan of Merger, dated as of January 7, 2007 (the "Merger Agreement"), by and among Forest Oil Corporation ("Forest"), MJCO Corporation, a wholly owned subsidiary of Forest, and The Houston Exploration Company (the "Company"), at the effective time ("Merger I Effective Date") of the merger contemplated therein, each outstanding share of the Company?s common stock was converted into the right to receive (i) .84 shares of Forest?s common stock and (ii) $26.25 in cash. This represents $60.02 per share of consideration to be received by the Company?s stockholders based on the average closing price of Forest?s common stock during the ten-day valuation period specified in the Merger Agreement. The mix of cash and stock consideration to be received by each of the Company?s stockholders will be determined by stockholder elections, subject to proration. As a result of the proration procedures that have not yet been completed as of the date of this filing, it Pursuant to the Merger Agreement, at the Merger I Effective Time, each non-qualified stock option became immediately and fully vested and was cancelled and converted into the right to receive a cash amount equal to the excess of $60.02 over the option exercise price multiplied by the number of shares subject to such option. /s/ Karol L. Adams by Power of Attorney for Robert B. Catell 2007-06-08