

FOR IMMEDIATE RELEASE      Contact: Guy T. Marcus
October 29, 1998           Vice President-Investor Relations
                           (214) 978-2691

                     HALLIBURTON 1998 THIRD QUARTER EARNINGS

         DALLAS,  Texas --  Halliburton  Company  (NYSE:HAL)  announces that the
company earned $195 million ($ .44 per diluted share) in the 1998 third quarter,
compared to $218  million ($ .50 per diluted  share) in the 1997 third  quarter,
before recognition of special charges. Financial results of both years have been
restated to reflect completion of the company's merger with Dresser  Industries,
Inc.  on  September  29,  1998.  The  merger was  accounted  for as a pooling of
interests.  Third quarter 1998 revenues were $4,224 million, up one percent over
the $4,177 million of revenues generated in the year earlier period.
         The 1998  third  quarter  financial  results  include a pretax  special
charge of $945 million ($722  million  after tax or $1.64 per diluted  share) to
provide for consolidation, restructuring and merger related expenses. Components
of the pretax special  charge  include $509 million of asset related  writeoffs,
writedowns and charges;  $205 million related to personnel reduction costs; $121
million of facility  consolidation  charges;  $64 million of merger  transaction
costs;  and $46 million of other merger  related  costs.  Including  the special
charge, Halliburton's net loss was $527 million ($1.20 per diluted share) in the
1998 third quarter.
         The  Energy  Services  Group  business  segment's  1998  third  quarter
revenues were $2,163  million,  a decline of three percent  compared to the year
earlier quarter.  Adjusting for the  de-consolidation  of the Bredero-Shaw joint
venture,  revenues  were flat.  The  worldwide  rotary rig count  declined by 21
percent in the 1998 third quarter,

                                     -more-

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Halliburton Company                              page 2


compared to a year ago.  Lower crude oil and natural gas prices during 1998 have
reduced  customers'  cash flows and influenced them to pull back on exploration,
development  and production  spending  during the third  quarter.  International
revenues improved about five percent and represented 72 percent of the segment's
revenues  during the 1998 third  quarter,  while U.S.  revenues  in the  quarter
declined  about 18 percent.  U.S.  activity was hampered by both weaker  general
market  conditions  and tropical  storms in the Gulf of Mexico.  Despite  weaker
market  conditions,  the Landmark Graphics  Corporation data  interpretation and
management business and the upstream engineering and construction  activities of
Brown & Root Energy Services registered higher revenues for the quarter.
         The Energy  Services  Group's 1998 third quarter  operating  income was
$263 million,  off eight percent from the 1997 quarter.  Operating  margins were
12.1 percent in the 1998 third quarter, compared to 12.9 percent a year earlier.
         The  Engineering and  Construction  Group business  segment's  revenues
totaled $1,379  million in the 1998 third  quarter,  an increase of nine percent
compared  to last  year's  quarter.  Operating  income  was $54  million  in the
quarter,  up two percent from the 1997 third  quarter.  The increase of revenues
was due, in part, to procurement related activities which carried minimal profit
margins.
         The Dresser  Equipment  Group  business  segment's  revenues  were $681
million in the 1998 third quarter,  about the same as a year earlier.  Operating
income  increased by seven  percent in the 1998 third  quarter,  compared to the
1997 quarter,  while operating  margins for the segment improved to 10.4 percent
compared to the 1997 quarter's 9.7 percent.  The segment's  operating income and
margin  improvements  were  largely  driven  by  stronger   performance  by  the
compression business, due primarily to cost reduction initiatives implemented in
late 1997.
                                     -more-

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         Bill  Bradford,  chairman  of  the  board  of  Halliburton,  commented,
"Completion  of the merger with  Dresser  positions  Halliburton  as the premier
company providing both oilfield and engineering and construction services to the
upstream  and  downstream  petroleum  industry.  The  company  is  now  uniquely
positioned in the energy  industry in providing  customers the broadest suite of
products, services and technologies."
         Dick Cheney,  Halliburton  Company's  chief  executive  officer,  said,
"While market conditions now challenge all petroleum industry participants, I am
very  optimistic  about the  outlook for  Halliburton  in the year ahead and the
longer term.  The  completion  of the merger with  Dresser is most  timely.  The
merger with Dresser is expected to be accretive  to  Halliburton's  earnings per
share.  Action plans now being implemented  should enable the company to achieve
annualized  pretax  benefits  of $250  million  by the end of the first  year of
combined operations. Also, the merger and restructuring will generate additional
advantages  by  strengthening   and  improving   Halliburton's   balance  sheet,
technological  base,  product/service  line offerings and  integrated  solutions
capabilities which will mutually benefit both Halliburton and its customers. Our
goal is to continue to build upon these strengths as we go forward."
         Halliburton  Company,  founded in 1919, is the world's largest provider
of products and services to the  petroleum  and energy  industries.  The company
serves its  customers  with a broad range of products and  services  through its
Energy Services Group, Engineering and Construction Group, and Dresser Equipment
Group business segments. In 1997 Halliburton's  consolidated revenues were $16.3
billion and it conducted  business with a workforce of approximately  100,000 in
over 120  countries.  The  company's  World  Wide Web  site can be  accessed  at
http://www.halliburton.com.

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<TABLE>
<CAPTION>
                               HALLIBURTON COMPANY
                        CONSOLIDATED STATEMENTS OF INCOME
                                   (UNAUDITED)

                                        Quarter Ended           Nine Months Ended
                                        September 30               September 30
                                    ----------------------   ----------------------
                                       1998        1997         1998        1997
                                    ----------  ----------   ----------  ----------
                                        Millions of dollars except per share data
<S>                                 <C>         <C>          <C>         <C>
Revenues
 Energy Services Group              $  2,163.4  $  2,220.8   $  6,828.9  $  6,080.7
 Engineering and
  Construction Group                   1,379.4     1,268.6      4,164.5     3,722.2
 Dresser Equipment
  Group                                  681.2       687.6      2,070.6     1,978.5
                                    ----------  ----------   ----------  ----------
  Total revenues                    $  4,224.0  $  4,177.0   $ 13,064.0  $ 11,781.4
                                    ==========  ==========   ==========  ==========
Operating income
 Energy Services Group              $    262.7  $    287.0   $    850.1  $    705.4
 Engineering and
  Construction Group                      54.0        53.2        187.3       152.6
 Dresser Equipment
  Group                                   71.0        66.6        187.1       148.0
 Special charges                        (945.1)      (18.3)      (945.1)      (18.3)
 General corporate                       (20.1)      (16.3)       (59.7)      (51.4)
                                    ----------  ----------   ----------  ----------
  Total operating income (loss)         (577.5)      372.2        219.7       936.3

Interest expense                         (34.6)      (30.1)       (95.9)      (80.2)
Interest income                            7.2         5.0         21.4        15.8
Foreign currency
 losses                                   (7.9)       (1.5)        (9.7)       (3.7)
Other nonoperating, net                    3.3        (0.2)         2.7         0.4
                                    ----------  ----------   ----------  ----------

Income (loss) before income taxes
  and minority interests                (609.5)      345.4        138.2       868.6

Benefit (provision) for
 income taxes                             96.6      (130.0)      (184.1)     (325.0)

Minority interest in net
  income of subsidiaries                 (14.1)      (12.8)       (34.5)      (29.2)
                                    ----------  ----------   ----------  ----------
Net income (loss)                   $   (527.0) $    202.6   $    (80.4) $    514.4
                                    ==========  ==========   ==========  ==========
Basic income (loss)
per share                           $    (1.20) $     0.47   $    (0.18) $     1.20

Diluted income (loss)
per share                           $    (1.20) $     0.47   $    (0.18) $     1.19

Basic average
common shares
outstanding                              439.1       428.9        438.6       429.0

Diluted average
common shares
outstanding                              439.1       433.5        438.6       432.9
<FN>

 Prior  periods restated  for the acquisition of Dresser Industries, Inc., which
 has been accounted for as a pooling of interests.
</FN>
</TABLE>


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