UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934

Date of report (Date of earliest event reported):
July 27, 2010 (July 26, 2010)

RANGE RESOURCES CORPORATION

(Exact name of registrant as specified in its charter)

Delaware		001-12209		34-1312571
(State or other jurisdiction of incorporation)		(Commission File Number)		(IRS Employer Identification No.)

100 Throckmorton, Suite 1200 Ft. Worth, Texas		76102
(Address of principal executive offices)		(Zip Code)

Registrant’s telephone number, including area code: (817) 870-2601

(Former name or former address, if changed since last report): Not applicable

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligations of the registrant under any of the following provisions (see General Instruction A.2. below):

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 

ITEM 2.02 Results of Operations and Financial Condition

     On July 26, 2010 Range Resources Corporation issued a press release announcing its second quarter 2010 results. A copy of this press release is being furnished as an exhibit to this report on Form 8-K.

ITEM 9.01 Financial Statements and Exhibits

     (d) Exhibits:

	99.1			Press Release dated July 26, 2010

SIGNATURES

     Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Date: July 27, 2010

EXHIBIT INDEX

Exhibit Number				Description
	99.1			Press Release dated July 26, 2010

Exhibit 99.1

NEWS RELEASE

RANGE ANNOUNCES SECOND QUARTER 2010 RESULTS

FORT WORTH, TEXAS, JULY 26, 2010...RANGE RESOURCES CORPORATION (NYSE: RRC) today announced its second quarter 2010 results. Production averaged 472 Mmcfe per day, a record high for the Company and a 9% increase over the prior-year quarter. This represents the 30^th consecutive quarter of sequential production growth. The record level of production was achieved despite the impact of selling non-core properties at the end of the first quarter 2010. The driver for the production growth was solid results from all of the Company’s divisions. The Marcellus Shale Division saw the largest production increase due to continued outstanding drilling results.

Reported GAAP net income increased to $9.1 million versus a loss of $39.9 million for the prior-year quarter. Diluted earnings per share rose to $0.06 compared to a loss of $0.26 for the prior-year quarter. Net cash provided from operating activities totaled $108 million for the second quarter. Adjusted net income comparable to analysts’ estimates, a non-GAAP measure, was $14.1 million or $0.09 per diluted share compared to $33.7 million or $0.21 per diluted share for the prior-year quarter. Due to lower realized prices, cash flow from operations before changes in working capital, a non-GAAP measure, declined 17% from the prior-year quarter to $129 million. Please see “Non-GAAP Financial Measures” for a definition of each of these non-GAAP financial measures and tables that reconcile each of these non-GAAP measures to their most directly comparable GAAP financial measure.

Commenting on the announcement, John Pinkerton, Range’s Chairman and CEO, said, “Significant progress was made in the second quarter. We fully replaced the production we sold with our Ohio sale and were able to record the highest quarterly production in our Company’s history. We accomplished this while continuing to drive down our cost structure. The catalyst for our performance was outstanding drilling results. We believe we are on track to deliver all-in finding cost of below $1.00 per mcfe for 2010. As a result, we are generating attractive returns on our capital despite low natural gas prices. With 75% of our 2010 gas production hedged and 60% of our 2011 gas production hedged, coupled with our low cost structure, solid financial position, and high return projects, we are confident that we can continue to drive up our per share value.”

Financial Discussion —

For the quarter, production averaged 472 Mmcfe per day, comprised of 382 Mmcf per day of gas (81%), 9,651 barrels per day of natural gas liquids (12%) and 5,327 barrels per day of oil (7%). Natural gas production grew 9% over the prior-year quarter, despite the sale of the Ohio properties at the end of the first quarter. Adjusting for asset sales, second quarter natural gas production would have grown by 13%. Natural gas liquids production rose 67% as a result of outstanding drilling results in the liquids rich area of the Marcellus Shale play in southwest Pennsylvania. Compared to the prior-year quarter, oil production declined 34% primarily due to the sale of our West Texas oil properties last year. Wellhead prices, including cash-settled derivatives, averaged $5.07 per mcfe, an 18% decrease versus the prior-year quarter. The average realized gas price was $4.37 per mcf, a 25% decrease from the prior-year quarter. The natural gas liquids price increased 54% to $37.13 a barrel versus the prior-year quarter. The average oil price rose 12% to $67.96 a barrel over the prior-year quarter. Total natural gas, NGL and oil sales (including cash settled derivatives) declined 11% compared to the prior-year quarter to $217 million as lower prices more than offset higher volumes.

During the second quarter 2010, Range continued to lower its cost structure. On a unit of production basis, the Company’s four largest cost categories fell by 8% in aggregate compared to the prior-year period. Direct operating expenses for the quarter were $0.68 per mcfe, a 21% decrease compared to the prior-year quarter of $0.86. Depreciation, depletion and amortization expense decreased 6% to $2.12 per mcfe. Interest expense declined 4% to $0.72 per mcfe. General and administrative expenses excluding the lawsuit settlements were $0.52 per mcfe, a $0.01 increase over the prior-year quarter due primarily to continued increases in the Marcellus Shale division.

In June, Range completed the second and final closing of its Ohio property sale, generating approximately $23 million of additional proceeds. Total proceeds from the sale were $323 million. The sale resulted in the recording of a pre-tax gain of $67 million in the first quarter and $10 million in the second quarter.

Also in June, Range acquired natural gas properties located in Virginia from a subsidiary of Chesapeake Energy Corporation for $135 million. The properties are contiguous to and partially overlap the Company’s existing Nora/Haysi properties. The acquired properties are currently producing 10 Mmcfe per day and include 115,000 net acres of leasehold and 30 miles of gas transmission lines. Range estimates the proved reserves associated with the acquisition total 125 Bcfe. The acquired properties contributed approximately 2 Mmcfe per day toward the Company’s total average second quarter production of 472 Mmcfe per day. The Company owns the mineral interests in both the Nora and Haysi Fields. The acquisition blocks up over 350,000 acres for future development in stacked pay reservoirs of the shallow coal bed methane horizons, tight gas horizons and the deeper Huron Shale. These same reservoirs are currently being developed in the adjoining Nora Field. Based on the results of the infill drilling program at Nora over the last several years, Range believes that the acquired acreage has significant infill drilling and behind pipe opportunities with attractive economics even at low gas prices.

Capital Expenditures —

Second quarter drilling expenditures totaled $237 million, funding the drilling of 87 (65.6 net) wells. A 97% success rate was achieved. For the first six months of the year, 159 (123.5 net) wells were drilled. At June 30, 53 (38.6 net) wells were in various stages of completion or waiting on pipeline connection. As of June 30, Range had drilled 146 horizontal Marcellus wells to date of which 29 are awaiting completion and four are awaiting pipeline hook up. In addition in the second quarter, $32 million was expended on acreage, $8 million on expanding gas gathering systems and $13 million for exploration expense.

The Company’s Board of Directors recently approved an additional $215 million in capital spending for 2010. This increases the 2010 capital budget from $950 million to $1.2 billion. The capital spending increase is related to seizing opportunities in the Marcellus Shale play ($210 million) and for development of the recently acquired properties in Virginia ($5 million). Of the additional Marcellus capital, approximately $65 million is for the planned drilling of 18 additional Marcellus wells in the southwest portion of the play and to complete 15 of them prior to year end. Because we are becoming more efficient, we are drilling more wells with the same number of rigs. Another $73 million is for the construction of drilling locations, roads and other infrastructure requirements for wells expected to be drilled in 2011. Given the size and scale of Range’s acreage position, it is prudent and cost effective to undertake these construction activities prior to the winter season, in order to achieve a more cost efficient, continuous operation. Range is combining 14,000 net acres in Bradford County with Talisman in an industry joint venture. Range will own approximately a 33% working interest in the combined acreage position. Talisman has drilled some excellent wells in the area and will be the operator of the

joint venture wells. Range’s share of the joint venture’s cost for the remainder of 2010 is estimated to be $25 million. An additional $40 million is for leasehold in the Marcellus Shale, allowing us to continue to block up acreage in our core areas. The remaining $7 million is for additional seismic expenditures.

With the increase in capital spending, Range is increasing its production growth guidance for 2010 from 12% to 14%. Specifically with regard to the Marcellus, Range is increasing its 2010 exit rate target from 180 to 200 Mmcfe net per day to 200 to 210 Mmcfe net per day. For 2011, Range currently anticipates that its production will increase by no less than 25% and the 2011 Marcellus exit rate target has been increased from 360 to 400 Mmcfe per day net to 400 to 420 Mmcfe per day net.

The Company had at quarter end a debt-to-capitalization ratio, net of cash, of 40% with almost $900 million of undrawn capacity under its bank credit facility. The increase in the 2010 capital budget will be funded by draws under the credit facility. Range is also considering additional asset sales to fund a portion of the capital increase.

Operational Discussion —

Range’s Marcellus Shale Division continues to exceed expectations. Current net production is approximately 160 Mmcfe per day, ahead of its mid-year target. Drilling rigs are becoming more efficient as are completions and production operations. These increased efficiencies and cost improvements are resulting in improved economics and rates of return. These efficiencies, coupled with being ahead of schedule on production volumes, are allowing us to add an additional $210 million of capital to the Marcellus project in 2010. The additional capital, in turn, will help us to accelerate the Company’s net asset value of the Marcellus Shale play.

Pipeline, compression and plant processing infrastructure capacity in the Marcellus is on schedule. In the southwest portion of the play, an additional 30 Mmcfe per day of capacity is scheduled to be complete in the fourth quarter of this year and an additional 150 Mmcfe per day is scheduled for first quarter 2011. This processing capacity coupled with additional dry gas taps will position Range well in 2011 and beyond for increased production in the southwest portion of the play. With regard to the northeast portion of the play, solid progress is being made on the first phase of the Lycoming County pipeline project which is scheduled to begin flowing gas on or before year end 2010. Firm take away capacity has been contracted for both the southwest and northeast areas to allow our Marcellus Shale production to flow on time and within our forecasts.

As we ramp up development in the Marcellus, our technical team continues to make significant progress. Our production curves as updated and presented with zero time plots on our website illustrate continued improvements in well performance and demonstrate the progress that our technical team is making. Range previously announced an encouraging test of its first Upper Devonian Shale horizontal well. Given the Upper Devonian’s prevalence across our acreage position, we are very encouraged regarding the increased unproved resource potential this well implies on our existing acreage in southwestern Pennsylvania. The Marcellus Shale team plans two additional Upper Devonian test wells in 2010. Range plans to spud another Utica Shale well early in the first quarter of 2011.

In the second quarter, the Southwest Division continued its success while running two rigs. In the Barnett Shale formation, the Company completed four wells with excellent results. In Johnson County, two wells were completed with a combined rate of 6.0 (3.6 net) Mmcfe per day, while in Tarrant County, another two wells were completed with combined rates of 10 (7.0 net) Mmcfe per day. In the Permian Basin, the division drilled and completed one new oil well and deepened another. One of the

wells came online at 509 (381 net) Boe per day, while the other had initial production of 640 (480 net) Boe per day.

During the second quarter 2010, Range’s Appalachian Division continued to focus its key tight gas sand, coal bed methane and horizontal drilling projects in the Nora field in Virginia, drilling a total of 35 (17.5 net) wells. During the quarter, Range drilled 12 vertical tight gas sand wells and one horizontal Huron Shale well. In addition, Range drilled 15 new coalbed methane wells and 7 infill coalbed methane wells in the Nora field for the quarter.

During the second quarter, the Midcontinent Division focused on the Texas Panhandle Granite Wash and the northern Oklahoma shallow oil plays. Two vertical Granite Wash wells commenced sales during the quarter at combined rates of 4.4 (3.5 net) Mmcfe per day. One additional well is completing with three more scheduled in the play for 2010. In the northern Oklahoma shallow oil play, one horizontal well was placed on production at a rate of 295 (236 net) BOE per day. This well reached only one-half of its projected lateral length, yet has responded with more than 50% of the production volumes associated with the first horizontal test. A second well is currently completing, with three additional wells planned for the remainder of the year. In the Ardmore Basin Woodford play, drilling operations also commenced in the quarter. One well is currently completing, and one rig will remain active for the remainder of 2010. All three of these main play areas of the Midcontinent contain oil components which greatly add to their well economics and rates of return.

The Company will host a conference call on Tuesday, July 27 at 9:00 a.m. ET to review these results. To participate in the call, please dial 877-407-8031 and ask for the Range Resources’ second quarter financial results conference call. A replay of the call will be available through August 2 at 877-660-6853. The account number is 286 and the conference ID for the replay is 353994. Additional financial and statistical information about the period not included in this release but to be presented in the conference call will be available on our home page at www.rangeresources.com.

A simultaneous webcast of the call may be accessed over the Internet at www.rangeresources.com or www.vcall.com. To listen, please go to either website in time to register and install any necessary software. The webcast will be archived for replay on the Company’s website for 15 days.

Second quarter 2010 results included several non-cash items. The $10 million gain on the secondary closing of the Ohio property sale, a $4 million non-cash mark-to-market loss on unrealized derivatives, property impairments of $13 million, a $14 million gain recorded for the mark-to-market in the deferred compensation plan, $13 million of non-cash stock compensation expense and $3 million for lawsuit settlements were recorded. Excluding these items, net income would have been $14.1 million or $0.09 per share ($0.09 fully diluted). Excluding similar non-cash items from the prior-year quarter, net income would have been $33.7 million or $0.22 per share ($0.21 fully diluted). By excluding these non-cash items from our earnings, we believe we present our earnings in a manner consistent with the presentation used by analysts in their projection of the Company’s earnings. (See accompanying table for calculation of these non-GAAP measures.)

“Cash flow from operations before changes in working capital” as defined in this release represents net cash provided by operations before changes in working capital and exploration expense adjusted for certain non-cash compensation items. Cash flow from operations before changes in working capital is widely

accepted by the investment community as a financial indicator of an oil and gas company’s ability to generate cash to internally fund exploration and development activities and to service debt. Cash flow from operations before changes in working capital is also useful because it is widely used by professional research analysts in valuing, comparing, rating and providing investment recommendations of companies in the oil and gas exploration and production industry. In turn, many investors use this published research in making investment decisions. Cash flow from operations before changes in working capital is not a measure of financial performance under GAAP and should not be considered as an alternative to “Cash flows from operating, investing, or financing activities” as an indicator of cash flows, or as a measure of liquidity. A table is included which reconciles “Net cash provided from operating activities” to “Cash flow from operations before changes in working capital” as used in this release. On its website, the Company provides additional comparative information on prior periods.

In this news release, Range has reclassified within total revenues its financial reporting of the cash settlement of its commodity derivatives. Under this presentation those hedges considered “effective” under ASC 815 (Appalachia oil and gas hedges and Southwest oil hedges) are included in “Oil and gas sales” when settled. For those hedges designated to regions where the historical correlation between NYMEX and regional prices is “non-highly effective” (Southwest gas) or is “volumetric ineffective” due to sale of the underlying reserves (Southwest oil), they are deemed to be “derivatives” and the cash settlements are included in a separate line item shown as “Derivative fair value income (loss)” in Form 10-Q along with the change in mark-to-market valuations of such unrealized derivatives. The Company has provided additional information regarding oil and gas sales in a supplemental table included with this release, which would correspond to amounts shown by analysts for oil and gas sales realized, including cash-settled derivatives.

RANGE RESOURCES CORPORATION (NYSE: RRC) is an independent natural gas company operating in the Southwestern and Appalachian regions of the United States.

								2010-17
Contacts:		Rodney Waller, Sr. Vice President			817-869-4258
		David Amend, Investor Relations Manager			817-869-4266
Karen Giles, Corporate Communications Manager 817-869-4238
		Main number:			817-870-2601
		www.rangeresources.com

RANGE RESOURCES CORPORATION

STATEMENTS OF INCOME
Based on GAAP reported earnings with additional details of items included in each line in Form 10-Q (Unaudited, in thousands, except per share data)

		Three Months Ended June 30,												Six Months Ended June 30,
		2010				2009								2010				2009
Revenues
Oil and gas sales (a)		$	206,784			$	192,523							$	443,544			$	395,712
Cash-settled derivative gain (loss) (a)(c)			10,695				51,383								6,699				95,858
Transportation and gathering			983				2,339								3,410				2,110
Transportation and gathering — non-cash stock compensation (b)			(309	)			(187	)							(643	)			(463	)
Change in mark-to-market on unrealized derivatives (c)			(4,409	)			(61,595	)							42,169				(30,070	)
Ineffective hedging gain (loss) (c)			260				356								11				(97	)
Equity method investment (d)			636				(4,608	)							(985	)			(5,526	)
Gain (loss) on sale of properties (d)			10,176				(29	)							79,044				7
Interest and other (d)			1				250								47				(662	)
			224,817				180,432				25	%			573,296				456,869				25	%
Expenses
Direct operating			29,150				33,998								59,697				68,810
Direct operating — non-cash stock compensation (b)			625				830								1,118				1,559
Production and ad valorem taxes			8,090				7,564								16,160				15,821
Exploration			13,401				10,475								26,900				22,753
Exploration — non-cash stock compensation (b)			1,072				893								2,208				1,954
Abandonment and impairment of unproven properties			13,497				40,954								25,904				60,526
General and administrative			22,532				20,168								42,860				38,853
General and administrative — non-cash stock compensation (b)			10,738				8,935								18,580				15,160
General and administrative — lawsuit settlements			2,566				—								2,566				—
Termination costs			—				—								5,138				—
Termination costs — non-cash stock compensation (b)			—				—								2,800				—
Deferred compensation plan (e)			(14,135	)			756								(19,847	)			13,190
Interest			30,779				29,555								61,066				56,184
Depletion, depreciation and amortization			90,997				88,713								179,623				173,033
Proved property impairment			—				—								6,505				—
			209,312				242,841				-14	%			431,278				467,843				-8	%
Income (loss) from operations before income taxes			15,505				(62,409	)			125	%			142,018				(10,974	)			1,394	%
Income taxes
Current			—				619								—				619
Deferred			6,453				(23,145	)							55,387				(4,318	)
			6,453				(22,526	)							55,387				(3,699	)
Net income (loss)		$	9,052			$	(39,883	)			123	%		$	86,631			$	(7,275	)			1,291	%
Earnings per share
Basic		$	0.06			$	(0.26	)			123	%		$	0.54			$	(0.05	)			1,180	%
Diluted		$	0.06			$	(0.26	)			123	%		$	0.54			$	(0.05	)			1,180	%
Weighted average shares outstanding, as reported
Basic			156,820				154,389				2	%			156,608				154,056				2	%
Diluted			158,472				154,389				3	%			158,601				154,056				3	%

RANGE RESOURCES CORPORATION

BALANCE SHEETS
(in thousands)

		June 30,				December 31,
		2010				2009
		(Unaudited)				(Audited)
Assets
Current assets		$	289,548			$	153,735
Current unrealized derivative gain			83,864				21,545
Oil and gas properties			5,055,513				4,898,819
Transportation and field assets			80,807				91,835
Unrealized derivative gain			26,032				4,107
Other			227,081				225,840
		$	5,762,845			$	5,395,881
Liabilities and Stockholders’ Equity
Current liabilities		$	346,394			$	297,170
Current asset retirement obligation			2,446				2,446
Current unrealized derivative loss			2,781				14,488
Bank debt			475,000				324,000
Subordinated notes			1,384,562				1,383,833
Total long-term debt			1,859,562				1,707,833
Deferred taxes			839,245				776,965
Unrealized derivative loss			—				271
Deferred compensation liability			113,247				135,541
Long-term asset retirement obligation and other			72,331				82,578
Common stock and retained earnings			2,491,958				2,380,132
Treasury stock			(7,741	)			(7,964	)
Other comprehensive income			42,622				6,421
Total stockholders’ equity			2,526,839				2,378,589
		$	5,762,845			$	5,395,881

RANGE RESOURCES CORPORATION

CASH FLOWS FROM OPERATING ACTIVITIES
      (Unaudited, in thousands)

		Three Months Ended								Six Months Ended
		June 30,								June 30,
		2010				2009				2010				2009
Net income (loss)		$	9,052			$	(39,883	)		$	86,631			$	(7,275	)
Adjustments to reconcile net income to net cash provided from operating activities:
Loss (gain) from equity investment			(636	)			4,607				985				5,526
Deferred income tax expense (benefit)			6,453				(23,145	)			55,387				(4,318	)
Depletion, depreciation and amortization and impairment of proved properties			90,998				88,713				186,129				173,033
Exploration dry hole costs			—				8				—				131
Abandonment and impairment of unproved properties			13,497				40,954				25,904				60,526
Mark-to-market (gains) losses on oil and gas derivatives not designated as hedges			4,409				61,595				(42,169	)			30,070
Unrealized derivative (gain) loss			(260	)			(356	)			(11	)			97
Amortization of deferred financing costs and other			1,200				1,283				2,367				2,333
Deferred and stock-based compensation			(1,411	)			11,630				5,866				32,794
(Gain) loss on sale of assets and other			(10,176	)			1,947				(79,044	)			1,943
Changes in working capital:
Accounts receivable			8,547				1,057				15,392				46,453
Inventory and other			1,038				(432	)			338				(2,154	)
Accounts payable			(3,593	)			(33,909	)			13,859				(72,008	)
Accrued liabilities			(11,555	)			5,204				(11,197	)			1,283
Net changes in working capital			(5,563	)			(28,080	)			18,392				(26,426	)
Net cash provided from operating activities		$	107,563			$	119,273			$	260,437			$	268,434

RECONCILIATION OF NET CASH PROVIDED FROM OPERATING
ACTIVITIES, AS REPORTED, TO CASH FLOW FROM OPERATIONS
BEFORE CHANGES IN WORKING CAPITAL, a non-GAAP measure
(Unaudited, in thousands)

		Three Months Ended								Six Months Ended
		June 30,								June 30,
		2010				2009				2010				2009
Net cash provided from operating activities, as reported		$	107,563			$	119,273			$	260,437			$	268,434
Net change in working capital			5,563				28,080				(18,392	)			26,426
Exploration expense			13,527				10,467				27,026				22,622
Office closing severance/exit accrual			—				—				5,138				—
Lawsuit settlements			2,566				—				2,566				—
Non-cash compensation and other			156				(1,946	)			49				(2,418	)
Cash flow from operations before changes in working capital, a non-GAAP measure		$	129,375			$	155,874			$	276,824			$	315,064

ADJUSTED WEIGHTED AVERAGE SHARES OUTSTANDING
      (Unaudited, in thousands)

		Three Months Ended								Six Months Ended
		June 30,								June 30,
		2010				2009				2010				2009
Basic:
Weighted average shares outstanding			159,625				156,948				159,350				156,522
Stock held by deferred compensation plan			(2,805	)			(2,559	)			(2,742	)			(2,466	)
			156,820				154,389				156,608				154,056
Dilutive:
Weighted average shares outstanding			159,625				156,948				159,350				156,522
Dilutive stock options under treasury method unless anti-dilutive			(1,153	)			(2,559	)			(749	)			(2,466	)
			158,472				154,389				158,601				154,056

RANGE RESOURCES CORPORATION

RECONCILIATION OF OIL AND GAS SALES AND DERIVATIVE FAIR VALUE
INCOME (LOSS) TO CALCULATED CASH REALIZED OIL AND GAS SALES,
PRODUCTION PRICES AND DIRECT
OPERATING CASH COSTS, a non-GAAP measure
 (Unaudited, in thousands, except per unit data)

		Three Months Ended												Six Months Ended
		June 30,												June 30,
		2010				2009								2010				2009
Oil and gas sales components:
Oil sales		$	32,913			$	39,943							$	68,797			$	68,022
NGL sales			32,608				12,702								68,499				19,569
Gas sales			122,923				86,723								286,693				203,642
Cash-settled hedges (effective):
Crude oil			23				2,642								23				12,007
Natural gas			18,317				50,513								19,532				92,472
Total oil and gas sales, as reported		$	206,784			$	192,523				7	%		$	443,544			$	395,712				12	%
Derivative fair value income (loss) components:
Cash-settled derivatives (ineffective):
Crude oil		$	—			$	1,934							$	—			$	7,548
Natural gas			10,695				49,449								6,699				88,310
Change in mark-to-market on unrealized derivatives			(4,409	)			(61,595	)							42,169				(30,070	)
Unrealized ineffectiveness			260				356								11				(97	)
Total derivative fair value income (loss), as reported		$	6,546			$	(9,856	)						$	48,879			$	65,691
Oil and gas sales, including cash-settled derivatives:
Oil sales		$	32,936			$	44,519							$	68,820			$	87,577
Natural gas liquid sales			32,608				12,702								68,499				19,569
Gas sales			151,935				186,685								312,924				384,424
Total		$	217,479			$	243,906				-11	%		$	450,243			$	491,570				-8	%
Production during the period (a):
Oil (bbl)			484,742				731,244				-34	%			999,420				1,453,204				-31	%
Natural gas liquid (bbl)			878,219				525,993				67	%			1,709,355				949,254				80	%
Gas (mcf)			34,751,687				31,905,593				9	%			68,502,246				62,457,926				10	%
Equivalent (mcfe) (b)			42,929,453				39,449,015				9	%			84,754,896				76,872,674				10	%
Production — average per day (a):
Oil (bbl)			5,327				8,036				-34	%			5,522				8,029				-31	%
Natural gas liquid (bbl)			9,651				5,780				67	%			9,444				5,244				80	%
Gas (mcf)			381,887				350,611				9	%			378,465				345,071				10	%
Equivalent (mcfe) (b)			471,752				433,506				9	%			468,259				424,711				10	%
Average prices realized, including cash-settled hedges and derivatives:
Crude oil (per bbl)		$	67.96			$	60.88				12	%		$	68.86			$	60.26				14	%
Natural gas liquid (per bbl)		$	37.13			$	24.15				54	%		$	40.07			$	20.61				94	%
Gas (per mcf)		$	4.37			$	5.85				-25	%		$	4.57			$	6.15				-26	%
Equivalent (per mcfe) (b)		$	5.07			$	6.18				-18	%		$	5.31			$	6.39				-17	%
Direct operating cash costs per mcfe (c):
Field expenses		$	0.65			$	0.84				-23	%		$	0.67			$	0.87				-23	%
Workovers			0.03				0.02				50	%			0.03				0.03				0	%
Total direct operating cash costs		$	0.68			$	0.86				-21	%		$	0.70			$	0.90				-22	%

RANGE RESOURCES CORPORATION

RECONCILIATION OF INCOME (LOSS) FROM OPERATIONS BEFORE INCOME TAXES
AS REPORTED TO INCOME FROM OPERATIONS BEFORE INCOME TAXES
EXCLUDING CERTAIN ITEMS, a non-GAAP measure
     (Unaudited, in thousands, except per share data)

		Three Months Ended												Six Months Ended
		June 30,												June 30,
		2010				2009								2010				2009
Income (loss) from operations before income taxes, as reported		$	15,505			$	(62,409	)			125	%		$	142,018			$	(10,974	)			1,394	%
Adjustment for certain non-cash items
(Gain) loss on sale of properties			(10,176	)			29								(79,044	)			(7	)
Change in mark-to-market on unrealized derivatives (gain) loss			4,409				61,595								(42,169	)			30,070
Ineffective hedging (gain) loss			(260	)			(356	)							(11	)			97
Abandonment and impairment of unproven properties			13,497				40,954								25,904				60,526
Proved property impairment			—				—								6,505				—
Termination costs			—				—								7,938				—
Lawsuit settlements			2,566				—								2,566				—
Equity method impairment			—				2,950								—				2,950
Transportation and gathering — non-cash stock compensation			309				187								643				463
Direct operating — non-cash stock compensation			625				830								1,118				1,559
Exploration expenses — non-cash stock compensation			1,072				893								2,208				1,954
General & administrative — non-cash stock compensation			10,738				8,935								18,580				15,160
Deferred compensation plan — non-cash stock compensation			(14,135	)			756								(19,847	)			13,190
Income from operations before income taxes, as adjusted			24,150				54,364				-56	%			66,409				114,988				-42	%
Income taxes, adjusted
Current			—				619								—				619
Deferred			10,051				20,061								26,387				42,251
Net income excluding certain items, a non-GAAP measure		$	14,099			$	33,684				-58	%		$	40,022			$	72,118				-45	%
Non-GAAP earnings per share
Basic		$	0.09			$	0.22				-59	%		$	0.26			$	0.47				-45	%
Diluted		$	0.09			$	0.21				-57	%		$	0.25			$	0.46				-46	%
Non-GAAP diluted shares outstanding, if dilutive			158,472				158,350								158,601				158,150

HEDGING POSITION
As of July 26, 2010
     (Unaudited)

						Gas								Oil
						Volume				Average				Volume				Average
						Hedged				Hedge				Hedged				Hedge
						(Mmbtu/d)				Prices				(Bbl/d)				Prices
3Q 2010		Collars					315,000			$	5.55 - $7.19				1,000			$	75.00- $93.75
4Q 2010		Collars					335,000			$	5.56 - $7.20				1,000			$	75.00- $93.75
Total 2010							325,000			$	5.56 - $7.20				1,000			$	75.00- $93.75
Total 2011		Collars					325,000			$	5.57 - $6.54				5,244			$	70.00 - $90.00
Total 2012		Collars					60,300			$	5.50 - $6.25				2,000			$	70.00 - $80.00

SEE WEBSITE FOR OTHER SUPPLEMENTAL INFORMATION FOR THE PERIODS