* Says sale process for planned divestiture continues
* Says in discussions with interested buyers
* Q4 adj profit tops analysts' estimates
* Says cut 4000 jobs in Q4
(Adds spokeswoman comment)
By Swetha Gopinath and Amrutha Gayathri
Jan 25 (Reuters) - Halliburton (N:HAL) Co HAL.N , which is awaiting
regulatory approval for its acquisition of Baker Hughes Inc
BHI.N , said it was yet to reach an agreement with U.S. and
European regulators about the "adequacy" of proposed
divestitures.
Halliburton presented "an enhanced set of proposed
divestitures" to the U.S. Department of Justice earlier this
month, CEO Dave Lesar said on a post-earnings call.
The company reported a better-than-expected profit on Monday
as deep cost cuts helped offset a drop in drilling activity.
Halliburton has also informally notified the European
Commission and other jurisdictions of the new sale plan, Lesar
said on the call.
He did not specify what the company would divest, but said
Halliburton was in talks with interested buyers.
Halliburton and Baker Hughes have so far disclosed plans to
divest overlapping businesses, with combined 2013 revenue of
$5.2 billion, to address concerns that their deal would lead to
higher prices and less innovation.
Total divestitures could be as much as $10 billion on a 2013
basis, according to Evercore ISI analyst James West.
Still, it is "positive" that the DOJ has not tried to block
the merger, West said.
Some other analysts were more skeptical.
"We are not as favorable on the timing and the potential for
(the deal) to go through as we were previously," said Edward
Jones analyst Rob Desai.
Baker Hughes and Halliburton have extended the deadline for
closing the deal - first announced in November 2014 - to April
30.
Lesar said on Monday the merger agreement would not
automatically terminate even if regulatory approvals do not come
in by April 30.
Both companies may continue to seek regulatory approval, or
either company may terminate the deal, he said.
Excluding an impairment charge and costs related to the
pending merger, Halliburton earned 31 cents per share in the
fourth quarter, beating analysts' average estimate of 24 cents,
according to Thomson Reuters I/B/E/S.
Cost cuts - including 4,000 layoffs in the fourth quarter -
and a spike in completion tool sales in the Gulf of Mexico drove
the earnings beat.
Halliburton has reduced its global headcount by 25 percent,
or almost 22,000 employees, since 2014, spokeswoman Emily Mir
said in an email.
Fourth-quarter revenue fell 42 percent to $5.08 billion,
missing analysts' estimates of $5.11 billion.
Halliburton shares were nearly unchanged at $30.19 in
morning trade on Monday, while Baker Hughes' stock was down
nearly 2 percent at $41.27.
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