COMMUNITY INVESTMENT
We have a long tradition of investing in projects that improve health, education and quality of life in communities where we live and work. We support charitable and other non-profit organizations, community projects, scholarships and employee volunteerism.

We work closely with the local communities to help us understand and evaluate specific needs. This collaboration ensures the sustainability of our social responsibility program.

In 2005, we invested $7.7 million in cash and in-kind donations worldwide, including disaster relief contributions.

PLANNED SOCIAL INVESTMENTS
The majority of our planned social expenditures were in the United States, Equatorial Guinea and Azerbaijan. Some highlights from 2005 include the following:

Equatorial Guinea Educational Development
The Company, in partnership with the government of Equatorial Guinea, has committed $20 million of a $40 million, multi-year program to support education in the West African country. The program will focus on strengthening the country’s educational system for children ages 6 to 18 while improving teacher training, learning initiatives and infrastructure development.

We worked with the Equatorial Ministry of Mines, Industry and Energy; the Ministry of Education and the international non-profit agency Academy for Education Development in 2005 to support a feasibility study on national education improvement, which led to the funding commitments by Hess and the government.

The program represents a model for public/private cooperation and is designed to transform education and provide sustainable benefits for citizens of the country.

Azerbaijan: Phase II of Emergency Medicine Development Initiative
In Phase I of the Emergency Medicine Development Initiative we worked to help raise the quality of emergency medical services at First Medical Emergency Hospital No. 3 in Azerbaijan. Based on the excellent results achieved, Phase II of the Emergency Medicine Development Initiative was launched in September 2005. With the support of additional donors, the scope and geographic coverage of the project was expanded to include five hospitals, emergency medicine training centers and development of a new national policy on emergency medical services.

TSUNAMI RESPONSE
Following the massive destruction and loss of life caused by the tsunami that hit Southeast Asia in the final days of 2004, our field offices in Indonesia, Thailand and Malaysia responded with immediate aid to local relief organizations. Within days of the disaster, Hess pledged $1 million to Save the Children for their relief efforts in Indonesia. This organization provided immediate care for children’s health and nutrition through daily care at activity centers and community kitchens, thereby averting further calamity. Save the Children was also able to reunite thousands of families separated by the disaster. Save the Children has provided direct assistance to more than 276,000 survivors in Indonesia alone – the largest relief effort in the organization’s history.

In Thailand, we also pledged $1 million to the Rachaprachanukroach Foundation, under the royal patronage of the King, for its invaluable support of the children affected by the tragedy.

Our employees were also highly supportive of the relief efforts. An employee matching gift program with four humanitarian relief organizations provided additional relief assistance. Since the tsunami we have worked with local governments, non-governmental organizations and local communities to assist in rebuilding efforts.

HURRICANE RESPONSE
Hurricanes Katrina and Rita struck the Gulf Coast of the United States in August and September 2005, forcing millions of people from their homes. Hess Corporation donated $1 million to the Red Cross for its relief efforts and also created a special matching gift program for employees who made personal contributions.

Recognizing the devastating consequences of the hurricanes on children in the damaged areas, we were honored to join with the U.S. Marine Corps Toys for Tots holiday program and donated 50,000 of our 2005 Hess toy trucks.