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Document and Entity Information	3 Months Ended
Document and Entity Information	Mar. 31, 2010 shares
Statement [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2010
Document Fiscal Year Focus	2010
Document Fiscal Period Focus	Q1
Trading Symbol	SLB
Entity Registrant Name	SCHLUMBERGER LTD /NV/
Entity Central Index Key	0000087347
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding	1,192,808,544

CONSOLIDATED STATEMENT OF INCOME - USD ($) shares in Millions, $ in Millions	3 Months Ended
	Mar. 31, 2010	Mar. 31, 2009
Statement [Line Items]
Revenue	$ 5,598	$ 6,000
Interest & other income, net	64	77
Expenses
Cost of revenue	4,343	4,510
Research & engineering	207	190
General & administrative	144	130
Merger & integration	35
Interest	45	55
Income before taxes	888	1,192
Taxes on income	214	252
Net Income	674	940
Net income attributable to noncontrolling interests	(2)	(2)
Net Income attributable to Schlumberger	672	938
Schlumberger amounts attributable to:
Net Income	$ 672	$ 938
Basic earnings per share of Schlumberger:
Net Income	$ 0.56	$ 0.78
Diluted earnings per share of Schlumberger:
Net Income	$ 0.56	$ 0.78
Average shares outstanding:
Basic	1,195	1,196
Assuming dilution	1,215	1,210

CONSOLIDATED BALANCE SHEET - USD ($) $ in Millions	Mar. 31, 2010	Dec. 31, 2009
Current Assets
Cash	$ 271	$ 243
Short-term investments	3,932	4,373
Receivables less allowance for doubtful accounts (2010-$144; 2009-$160)	5,972	6,088
Inventories	1,851	1,866
Deferred taxes	154	154
Other current assets	885	926
Assets, Current, Total	13,065	13,650
Fixed Income Investments, held to maturity	708	738
Investments in Affiliated Companies	2,360	2,306
Fixed Assets less accumulated depreciation	9,545	9,660
Multiclient Seismic Data	333	288
Goodwill	5,397	5,305
Intangible Assets	840	786
Deferred Taxes	301	376
Other Assets	334	356
Assets, Total	32,883	33,465
Current Liabilities
Accounts payable and accrued liabilities	4,705	5,003
Estimated liability for taxes on income	865	878
Dividend payable	250	253
Long-term debt-current portion	456	444
Short-term borrowings	179	360
Convertible debentures	299	321
Liabilities, Current, Total	6,754	7,259
Long-term Debt	4,052	4,355
Postretirement Benefits	1,623	1,660
Other Liabilities	915	962
Liabilities, Total	13,344	14,236
Equity
Common stock	4,841	4,777
Treasury stock	(5,221)	(5,002)
Retained earnings	22,440	22,019
Accumulated other comprehensive loss	(2,632)	(2,674)
Schlumberger stockholders' equity	19,428	19,120
Noncontrolling interests	111	109
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest, Total	19,539	19,229
Liabilities and Stockholders' Equity, Total	$ 32,883	$ 33,465

CONSOLIDATED BALANCE SHEET (Parenthetical) - USD ($) $ in Millions	Mar. 31, 2010	Dec. 31, 2009
Statement [Line Items]
Receivables, allowance for doubtful accounts	$ 144	$ 160

CONSOLIDATED STATEMENT OF CASH FLOWS - USD ($)
$ in Millions

3 Months Ended

Mar. 31, 2010

Mar. 31, 2009

Cash flows from operating activities:

Net Income

$ 674

$ 940

Adjustments to reconcile net income to cash provided by operating activities:

Depreciation and amortization

^[1]

620

609

Earnings of companies carried at equity, less dividends received

(47)

(55)

Deferred income taxes

Stock-based compensation expense

Pension and other postretirement benefits expense

Pension and other postretirement benefits funding

(64)

(273)

Other non-cash items

Change in assets and liabilities:

Decrease (increase) in receivables

^[2]

125

(429)

Decrease (increase) in inventories

^[2]

(118)

Decrease (increase) in other current assets

^[2]

(48)

Decrease in accounts payable and accrued liabilities

^[2]

(299)

(285)

Decrease in estimated liability for taxes on income

^[2]

(1)

(42)

(Decrease) increase in other liabilities

^[2]

(32)

Other-net

^[2]

(204)

(21)

NET CASH PROVIDED BY OPERATING ACTIVITIES

989

551

Cash flows from investing activities:

Capital expenditures

(449)

(748)

Multiclient seismic data capitalized

(91)

(48)

Business acquisitions and investments, net of cash acquired

(117)

(12)

Sale (purchase) of investments, net

468

(475)

Other

(5)

NET CASH USED BY INVESTING ACTIVITIES

(194)

(1,217)

Cash flows from financing activities:

Dividends paid

(254)

(251)

Proceeds from employee stock purchase plan

Proceeds from exercise of stock options

Tax benefits on stock options

Stock repurchase program

(337)

Proceeds from issuance of long-term debt

1,287

Repayment of long-term debt

(109)

(521)

Net (decrease) increase in short-term borrowings

(182)

137

NET CASH (USED IN) PROVIDED BY FINANCING ACTIVITIES

(767)

671

Net increase (decrease) in cash before translation effect

Translation effect on cash

(2)

Cash, beginning of period

243

189

Cash, end of period

$ 271

$ 192

[1]	Includes multiclient seismic data costs.
[2]	Net of the effect of business acquisitions.

CONSOLIDATED STATEMENT OF EQUITY - USD ($) shares in Millions, $ in Millions	3 Months Ended
	Mar. 31, 2010	Mar. 31, 2009
Statement [Line Items]
Beginning Balance	$ 19,229	$ 16,934
Comprehensive income
Net Income	674	940
Total comprehensive income	716	872
Shares sold to optionees, less shares exchanged	31	14
Shares issued under employee stock purchase plan	84	70
Stock repurchase program	(337)
Stock-based compensation cost	47	47
Shares issued on conversion of debentures	22
Other	(2)	(5)
Dividends declared ($0.21 per share)	(251)	(251)
Tax benefits on stock options		4
Ending Balance	$ 19,539	17,685
Beginning Balance (in shares)	1,195
Shares sold to optionees, less shares exchanged (in shares)	1
Shares issued under employee stock purchase plan (in shares)	1
Stock repurchase plan (in shares)	(5)
Shares issued on conversion of debebtures (in shares)	1
Ending Balance (in shares)	1,193
Common Stock Issued
Statement [Line Items]
Beginning Balance	$ 4,777	4,668
Comprehensive income
Shares sold to optionees, less shares exchanged		(4)
Vesting of restricted stock	(8)
Shares issued under employee stock purchase plan	25	9
Stock-based compensation cost	47	47
Shares issued on conversion of debentures	2
Other	(2)	(5)
Tax benefits on stock options		4
Ending Balance	$ 4,841	4,719
Beginning Balance (in shares)	1,334
Ending Balance (in shares)	1,334
Common Stock In Treasury
Statement [Line Items]
Beginning Balance	$ (5,002)	(4,796)
Comprehensive income
Shares sold to optionees, less shares exchanged	31	18
Vesting of restricted stock	8
Shares issued under employee stock purchase plan	59	61
Stock repurchase program	(337)
Shares issued on conversion of debentures	20
Ending Balance	$ (5,221)	(4,717)
Beginning Balance (in shares)	(139)
Shares sold to optionees, less shares exchanged (in shares)	1
Shares issued under employee stock purchase plan (in shares)	1
Stock repurchase plan (in shares)	(5)
Shares issued on conversion of debebtures (in shares)	1
Ending Balance (in shares)	(141)
Retained Earnings
Statement [Line Items]
Beginning Balance	$ 22,019	19,891
Comprehensive income
Net Income	672	938
Dividends declared ($0.21 per share)	(251)	(251)
Ending Balance	22,440	20,578
Accumulated Other Comprehensive Income (Loss)
Statement [Line Items]
Beginning Balance	(2,674)	(2,901)
Comprehensive income
Currency translation adjustments	11	(118)
Changes in fair value of derivatives	(22)	12
Deferred employee benefits liabilities	53	38
Ending Balance	(2,632)	(2,969)
Noncontrolling Interests
Statement [Line Items]
Beginning Balance	109	72
Comprehensive income
Net Income	2	2
Ending Balance	$ 111	$ 74

CONSOLIDATED STATEMENT OF EQUITY (Parenthetical) - $ / shares	3 Months Ended
	Mar. 31, 2010	Mar. 31, 2009
Statement [Line Items]
Dividends declared, per share	$ 0.21	$ 0.21

Basis of Presentation	3 Months Ended
Basis of Presentation	Mar. 31, 2010
Statement [Line Items]
Basis of Presentation	1. Basis of Presentation The accompanying unaudited consolidated financial statements, which include the accounts of Schlumberger Limited and its subsidiaries (“Schlumberger”), have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments considered necessary for a fair presentation have been included in the accompanying unaudited financial statements. All intercompany transactions and balances have been eliminated in consolidation. Operating results for the three month period ended March 31, 2010 are not necessarily indicative of the results that may be expected for the full year ending December 31, 2010. The December 31, 2009 balance sheet information has been derived from the audited 2009 financial statements. For further information, refer to the Consolidated Financial Statements and notes thereto, included in the Schlumberger Annual Report on Form 10-K for the year ended December 31, 2009, filed with the Securities and Exchange Commission on February 5, 2010. Certain items from prior year have been reclassified to conform to the current year presentation.

Recently Announced Transactions	3 Months Ended
Recently Announced Transactions	Mar. 31, 2010
Statement [Line Items]
Recently Announced Transactions	2. Recently Announced Transactions On February 21, 2010, Schlumberger and Smith International, Inc. (“Smith”) jointly announced that their Boards of Directors approved a definitive merger agreement in which the companies would combine in a stock-for-stock transaction. Under the terms of the agreement, Smith shareholders will receive 0.6966 shares of Schlumberger in exchange for each Smith share. Schlumberger estimates that it will issue approximately 177 million shares of its common stock in this transaction. The value of this transaction using the Schlumberger’s stock price at the end of March is approximately $11.2 billion. Such amount excludes Smith’s net debt which was $1.2 billion as of December 31, 2009. Smith is a leading supplier of premium products and services to the oil and gas exploration and production industry and reported revenues of $8.2 billion in 2009. The transaction is subject to various conditions including Smith stockholder approval and customary regulatory approvals, including the expiration of the applicable waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976. It is anticipated that the closing of the transaction will occur in the latter half of 2010. On March, 24, 2010, Schlumberger announced the acquisition of Geoservices, a privately owned oilfield services company specializing in mud logging, slickline and production surveillance operations. The purchase price is approximately $0.9 billion, excluding net debt assumed of approximately $0.1 billion. Geoservices’ revenue in 2009 was approximately $0.5 billion. This transaction closed on April 23, 2010.

Charges

3 Months Ended

Mar. 31, 2010

Statement [Line Items]

Charges

3. Charges

Schlumberger recorded the following charges during the first quarter of 2010:

•

Schlumberger incurred $35 million of merger-related costs in connection with the Smith and Geoservices transactions. These costs primarily consist of advisory and legal fees and are classified in Merger & integration in the Consolidated Statement of Income.

•

During March 2010, the Patient Protection and Affordable Care Act (PPACA) was signed into law in the United States. Among other things, the PPACA eliminates the tax deductibility of retiree prescription drug benefits to the extent of the Medicare Part D Subsidy that companies, such as Schlumberger, receive. As a result of this change in law, Schlumberger recorded a $40 million charge to adjust its deferred tax assets to reflect the loss of this future tax deduction. This charge is classified in Taxes on income in the Consolidated Statement of Income.

The following is a summary of these charges:


	(Stated in millions)
	Pretax		Tax		Net
Charges
- Merger-related transaction costs	$	35	$	—	$	35
- Impact of elimination of tax deduction related to Medicare Part D subsidy		—		40		40

	$	35	$	40	$	75

There were no charges in the first quarter of 2009.

Earnings Per Share

3 Months Ended

Mar. 31, 2010

Statement [Line Items]

Earnings Per Share

4. Earnings Per Share

The following is a reconciliation from basic earnings per share of Schlumberger to diluted earnings per share of Schlumberger:


						(Stated in millions, except per share amounts)
	2010					2009
	Schlumberger Net Income		Average Shares Outstanding	Earnings per Share		Schlumberger Net Income		Average Shares Outstanding	Earnings per Share
First Quarter
Basic	$	672	1,195	$	0.56	$	938	1,196	$	0.78

Assumed conversion of debentures		2	7				2	8
Assumed exercise of stock options		—	11				—	4
Unvested restricted stock		—	2				—	2

Diluted	$	674	1,215	$	0.56	$	940	1,210	$	0.78

The number of outstanding options to purchase shares of Schlumberger common stock which were not included in the computation of diluted earnings per share, because to do so would have had an antidilutive effect, were as follows:


	(Stated in millions)
	2010	2009
First Quarter	13	17

Acquisitions	3 Months Ended
Acquisitions	Mar. 31, 2010
Statement [Line Items]
Acquisitions	5. Acquisitions During the first quarter of 2010, Schlumberger made certain acquisitions and minority interest investments for $117 million, net of cash acquired, none of which were significant on an individual basis or in the aggregate.

Inventory

3 Months Ended

Mar. 31, 2010

Statement [Line Items]

Inventory

6. Inventory

A summary of inventory follows:


	(Stated in millions)
	Mar. 31 2010		Dec. 31 2009
Raw materials & field materials	$	1,643	$	1,646
Work in process		75		74
Finished goods		133		146

	$	1,851	$	1,866

Fixed Assets

3 Months Ended

Mar. 31, 2010

Statement [Line Items]

Fixed Assets

7. Fixed Assets

A summary of fixed assets follows:


	(Stated in millions)
	Mar. 31 2010		Dec. 31 2009
Property, plant & equipment	$	21,820	$	21,505
Less: Accumulated depreciation		12,275		11,845

	$	9,545	$	9,660

Depreciation expense relating to fixed assets was $547 million and $530 million in the first quarters of 2010 and 2009, respectively.

Multiclient Seismic Data

3 Months Ended

Mar. 31, 2010

Statement [Line Items]

Multiclient Seismic Data

8. Multiclient Seismic Data

The change in the carrying amount of multiclient seismic data for the three months ended March 31, 2010 was as follows:


	(Stated in millions)
Balance at December 31, 2009	$	288
Capitalized in period		91
Charged to cost of revenue		(46	)

Balance at March 31, 2010	$	333

Goodwill

3 Months Ended

Mar. 31, 2010

Statement [Line Items]

Goodwill

9. Goodwill

The changes in the carrying amount of goodwill by business segment for the three months ended March 31, 2010 were as follows:


	(Stated in millions)
	Oilfield Services			Western Geco		Total
Balance at December 31, 2009	$	4,290		$	1,015	$	5,305
Additions		70			24		94
Impact of change in exchange rates		(2	)		—		(2	)

Balance at March 31, 2010	$	4,358		$	1,039	$	5,397

Intangible Assets

3 Months Ended

Mar. 31, 2010

Statement [Line Items]

Intangible Assets

10. Intangible Assets

Intangible assets principally comprise software, technology and customer relationships. The gross book value and accumulated amortization of intangible assets were as follows:


							(Stated in millions)
	Mar. 31, 2010						Dec. 31, 2009
	Gross Book Value		Accumulated Amortization		Net Book Value		Gross Book Value		Accumulated Amortization		Net Book Value
Software	$	328	$	256	$	72	$	339	$	262	$	77
Technology		595		163		432		527		163		364
Customer Relationships		357		86		271		355		80		275
Other		121		56		65		121		51		70

	$	1,401	$	561	$	840	$	1,342	$	556	$	786

Amortization expense charged to income was $28 million during the first quarter of 2010 and $29 million during the same period of 2009.

The weighted average amortization period for all intangible assets is approximately 12 years.

Based on the net book value of intangible assets at March 31, 2010, amortization charged to income for the subsequent five years is estimated to be: remainder of 2010 – $91 million; 2011 – $109 million; 2012– $90 million; 2013 – $73 million; 2014 – $68 million and 2015 – $61 million.

Derivative Instruments and Hedging Activities

3 Months Ended

Mar. 31, 2010

Statement [Line Items]

Derivative Instruments and Hedging Activities

11. Derivative Instruments and Hedging Activities

Schlumberger is exposed to market risks related to fluctuations in foreign currency exchange rates, commodity prices and interest rates. To mitigate these risks, Schlumberger utilizes derivative instruments. Schlumberger does not enter into derivatives for speculative purposes.

Foreign Currency Exchange Rate Risk

As a multinational company, Schlumberger conducts its business in approximately 80 countries. Schlumberger’s functional currency is primarily the US dollar, which is consistent with the oil and gas industry. However, outside the United States, a significant portion of Schlumberger’s expenses is incurred in foreign currencies. Therefore, when the US dollar weakens (strengthens) in relation to the foreign currencies of the countries in which Schlumberger conducts business, the US dollar – reported expenses will increase (decrease).

Schlumberger is exposed to risks on future cash flows to the extent that local currency expenses exceed revenues denominated in local currency that are other than the functional currency. Schlumberger uses foreign currency forward contracts and foreign currency options to provide a hedge against a portion of these cash flow risks. These contracts are accounted for as cash flow hedges, with the effective portion of changes in the fair value of the hedge recorded on the Consolidated Balance Sheet and in Other Comprehensive Income (Loss). Amounts recorded in Other Comprehensive Income (Loss) are reclassified into earnings in the same period or periods that the hedged item is recognized in earnings. The ineffective portion of changes in the fair value of the hedged item is recorded directly to earnings.

At March 31, 2010, Schlumberger recognized a cumulative net $18 million gain in Equity relating to revaluation of foreign currency forward contracts and foreign currency options designated as cash flow hedges, the majority of which is expected to be reclassified into earnings within the next twelve months.

Schlumberger is also exposed to changes in the fair value of assets and liabilities, including certain of its long-term debt, which are denominated in currencies other than the functional currency. Schlumberger uses foreign currency forward contracts and foreign currency options to hedge this exposure as it relates to certain currencies. These contracts are accounted for as fair value hedges with the fair value of the contracts recorded on the Consolidated Balance Sheet and changes in the fair value recognized in the Consolidated Statement of Income along with the change in fair value of the hedged item.

At March 31, 2010, contracts were outstanding for the US dollar equivalent of $4.3 billion in various foreign currencies.

Commodity Price Risk

Schlumberger is exposed to the impact of market fluctuations in the price of commodities, such as copper and lead. Schlumberger has entered into forward contracts on these commodities to manage the price risk associated with forecasted purchases. The objective of these contracts is to reduce the variability of cash flows associated with the forecasted purchase of those commodities. These contracts do not qualify for hedge accounting treatment and therefore, changes in the fair value of the forward contracts are recorded directly to earnings.

Interest Rate Risk

Schlumberger is subject to interest rate risk on its debt and its investment portfolio. Schlumberger maintains an interest rate risk management strategy that uses a mix of variable and fixed rate debt combined with its investment portfolio and interest rate swaps to mitigate the exposure to changes in interest rates.

During the third quarter of 2009, Schlumberger entered into interest rate swaps relating to two of its debt instruments. The first swap was for a notional amount of $600 million in order to hedge a portion of the changes in fair value of Schlumberger’s $650 million 6.50% Notes due 2012. Under the terms of this swap agreement, Schlumberger will receive interest at a fixed rate of 6.5% semi-annually and will pay interest semi-annually at a floating rate of one-month LIBOR plus a spread of 4.84%. The second swap was for a notional amount of $450 million in order to hedge changes in the fair value of Schlumberger’s $450 million 3.00% Notes due 2013. Under the terms of this swap, Schlumberger will receive interest at a fixed rate of 3.0% annually and will pay interest quarterly at a floating rate of three-month LIBOR plus a spread of 0.765%.

These interest rate swaps are designated as fair value hedges of the underlying debt. These derivative instruments are marked to market with gains and losses recognized currently in income to offset the respective losses and gains recognized on changes in the fair value of the hedged debt. This results in no net gain or loss being recognized in the Consolidated Statement of Income.

At March 31, 2010, Schlumberger had fixed rate debt aggregating approximately $3.0 billion and variable rate debt aggregating approximately $2.0 billion, after taking into account the effects of the interest rate swaps.

Short-term investments and Fixed income investments, held to maturity, totaled approximately $4.6 billion at March 31, 2010, and are comprised primarily of money market funds, eurodollar time deposits, certificates of deposit, commercial paper, euro notes and Eurobonds, and are substantially all denominated in US dollars. The carrying value of these investments approximates fair value, which was estimated using quoted market prices for those or similar investments.

The fair values of outstanding derivative instruments is summarized as follows:


(Stated in millions)
	Fair Value of Derivatives				Classification
	Mar. 31 2010		Dec. 31 2009
Derivative assets
Derivative designated as hedges:
Foreign exchange contracts	$	11	$	14	Other current assets
Foreign exchange contracts		65		216	Other Assets
Interest rate swaps		11		—	Other Assets

	$	87	$	230

Derivative not designated as hedges:
Commodity contracts	$	2	$	1	Other current assets
Foreign exchange contracts		7		11	Other current assets
Foreign exchange contracts		5		28	Other Assets

	$	14	$	40

	$	101	$	270

Derivative Liabilities
Derivative designated as hedges:
Foreign exchange contracts	$	28	$	15	Accounts payable and accrued liabilities
Foreign exchange contracts		28		51	Other Liabilities

	$	56	$	66

Derivative not designated as hedges:
Commodity contracts	$	—	$	3	Accounts payable and accrued liabilities
Foreign exchange contracts		5		—	Accounts payable and accrued liabilities
Foreign exchange contracts		—		25	Other Liabilities

	$	5	$	28

	$	61	$	94

The fair value of all outstanding derivatives is determined using a model with inputs that are observable in the market or can be derived from or corroborated by observable data.

The effect of derivative instruments designated as fair value hedges and not designated as hedges on the Consolidated Statement of Income was as follows:


(Stated in millions)
	Gain/(Loss) Recognized in Income						Classification
	Three Months
	2010			2009
Derivatives designated as fair value hedges:
Foreign exchange contracts	$	(13	)	$	(22	)	Cost of revenue
Interest rate swaps		5			—		Interest expense

	$	(8	)	$	(22	)

Derivatives not designated as hedges:
Foreign exchange contracts	$	(7	)	$	(23	)	Cost of revenue
Commodity contracts		(1	)		(1	)	Cost of revenue

	$	(8	)	$	(24	)

The effect of derivative instruments in cash flow hedging relationships on income and other comprehensive income (OCI) was as follows:


(Stated in millions)
	Gain (Loss) Reclassified from Accumulated OCI into Income						Classification
	Three Months
	2010			2009
Foreign exchange contracts	$	(135	)	$	(64	)	Cost of revenue
Foreign exchange contracts		(1	)		(7	)	Research & engineering

	$	(136	)	$	(71	)


(Stated in millions)
	Gain (Loss) Recognized in OCI
	Three Months
	2010			2009
Foreign exchange contracts	$	(158	)	$	(59	)

Long-term Debt

3 Months Ended

Mar. 31, 2010

Statement [Line Items]

Long-term Debt

12. Long-term Debt

A summary of Long-Term Debt follows:


	(Stated in millions)
	Mar. 31, 2010		Dec. 31, 2009
5.25% Guaranteed Notes due 2013	$	674	$	727
6.50% Notes due 2012		649		649
5.875% Guaranteed Bonds due 2011		341		362
4.50% Guaranteed Bonds due 2014		1,348		1,449
3.00% Guaranteed Notes due 2013		450		449
Commercial paper borrowings		200		358
Other variable rate debt		379		360

		4,041		4,354
Fair value adjustment—hedging		11		1

	$	4,052	$	4,355

The fair value adjustment presented above represents changes in the fair value of the portion of Schlumberger’s fixed rate debt that is hedged through the use of interest rate swaps.

The fair value of Schlumberger’s Long-term Debt at March 31, 2010 and December 31, 2009 was $4.3 billion and $4.6 billion, respectively and was estimated based on quoted market prices.

At March 31, there were $299 million outstanding of 2.125% Series B Convertible Debentures due June 1, 2023. During the first quarter of 2010, approximately $22 million of these debentures were converted by holders into 565,000 shares of Schlumberger common stock. On June 1, 2010, holders may require Schlumberger to repurchase their Series B debentures for cash. Accordingly, these debentures are classified within Current Liabilities on the Consolidated Balance Sheet at March 31, 2010. The fair value of these Series B debentures at March 31, 2010 and December 31, 2009 was $705 million and $527 million, respectively. For further information regarding the debentures refer to Note 11 to the Consolidated Financial Statements included in the Schlumberger Annual Report on Form 10-K for the year ended December 31, 2009.

On April 26, 2010, Schlumberger caused a notice to be mailed to holders of the 2.125% Series B Convertible Debentures due 2023 stating that it is calling for redemption on June 9, 2010 all of the outstanding 2.125% Series B debentures . The redemption price will be 100% of the principal amount thereof, plus accrued and unpaid interest up to, but not including, the redemption date.

Income Tax

3 Months Ended

Mar. 31, 2010

Statement [Line Items]

Income Tax

13. Income Tax

Income from Continuing Operations before taxes which were subject to US and non-US income taxes was as follows:


	(Stated in millions)
	First Quarter
	2010		2009
United States	$	61	$	103
Outside United States		827		1,089

	$	888	$	1,192

The components of net deferred tax assets were as follows:


	(Stated in millions)
	Mar. 31 2010			Dec. 31 2009
Postretirement benefits, net	$	403		$	447
Multiclient seismic data		111			104
Intangible assets		(152	)		(122	)
Other, net		93			101

	$	455		$	530

The above deferred tax assets at March 31, 2010 and December 31, 2009 are net of valuation allowances relating to net operating losses in certain countries of $239 million and $251 million, respectively. The deferred tax assets are also net of valuation allowances relating to a capital loss carryforward of $16 million at March 31, 2010 ($17 million at December 31, 2009), which expires in 2010 and a foreign tax credit carryforward of $30 million at March 31, 2010 ($30 million at December 31, 2009) which expires in 2012.

The components of consolidated Taxes on income were as follows:


	(Stated in millions)
	First Quarter
	2010			2009
Current:
United States - Federal	$	22		$	(35	)
United States - State		3			(1	)
Outside United States		156			210

	$	181		$	174

Deferred:
United States - Federal	$	42		$	74
United States - State		2			4
Outside United States		(10	)		1
Valuation allowance		(1	)		(1	)

	$	33		$	78

Consolidated taxes on income	$	214		$	252

A reconciliation of the US statutory federal tax rate of 35% to the consolidated effective income tax rate follows:


	First Quarter
	2010		2009
US federal statutory rate	35	%	35	%
Non-US income taxed at different rates	(16	)	(13	)
Effect of equity method investment	—		(1	)
Charges (See Note 3)	5		—

Effective income tax rate	24	%	21	%

Contingencies	3 Months Ended
Contingencies	Mar. 31, 2010
Statement [Line Items]
Contingencies	14. Contingencies In 2007, Schlumberger received an inquiry from the United States Department of Justice (“DOJ”) related to the DOJ’s investigation of whether certain freight forwarding and customs clearance services of Panalpina, Inc., and other companies provided to oil and oilfield service companies, including Schlumberger, violated the Foreign Corrupt Practices Act. Schlumberger is cooperating with the DOJ and is currently continuing its own investigation with respect to these services. In 2009, Schlumberger learned that United States officials began a grand jury investigation and an associated regulatory inquiry, both related to certain Schlumberger operations in specified countries that are subject to United States trade and economic sanctions. Schlumberger is cooperating with the governmental authorities and is currently unable to predict the outcome of these matters. Schlumberger and its subsidiaries are party to various other legal proceedings from time to time. A liability is accrued when a loss is both probable and can be reasonably estimated. At this time the ultimate disposition of these proceedings is not determinable and therefore, it is not possible to estimate the amount of loss or range of possible losses that might result from an adverse judgment or settlement in any of these matters. However, in the opinion of management, any liability that might ensue would not be material in relation to Schlumberger’s consolidated liquidity, financial position or future results of operations.

Segment Information

3 Months Ended

Mar. 31, 2010

Statement [Line Items]

Segment Information

15. Segment Information

Schlumberger operates two business segments: Oilfield Services and WesternGeco.


						(Stated in millions)
	First Quarter 2010					First Quarter 2009
	Revenue		Income before taxes			Revenue		Income before taxes
Oilfield Services
North America	$	1,033	$	83		$	1,191	$	163
Latin America		1,057		185			1,029		203
Europe/CIS/Africa		1,625		294			1,803		467
Middle East & Asia		1,322		410			1,375		456
Other		60		(3	)		41		(34	)

		5,097		969			5,439		1,255
WesternGeco		472		67			551		55

Corporate & Other		29		(82	)		10		(91	)
Interest Income ⁽¹⁾		—		13			—		14
Interest Expense ⁽²⁾		—		(44	)		—		(41	)
Charges		—		(35	)		—		—

	$	5,598	$	888		$	6,000	$	1,192

1.	Excludes interest income included in the segment results ($3 million in 2010; $4 million in 2009).

2.	Excludes interest expense included in the segment results ($1 million in 2010; $14 million in 2009).

Pension and Other Postretirement Benefits

3 Months Ended

Mar. 31, 2010

Statement [Line Items]

Pension and Other Postretirement Benefits

16. Pension and Other Postretirement Benefits

Net pension cost for the Schlumberger pension plans included the following components:


	(Stated in millions)
	First Quarter
	US						Int’l
	2010			2009			2010			2009
Service cost—benefits earned during period	$	15		$	16		$	14		$	14
Interest cost on projected benefit obligation		36			27			52			45
Expected return on plan assets		(48	)		(31	)		(58	)		(40	)
Amortization of net loss		16			9			5			—
Amortization of prior service cost		1			2			28			31

	$	20		$	23		$	41		$	50

During the first quarter of 2010, Schlumberger made contributions to its international defined benefit pension plans of $38 million.

The net periodic benefit cost for the Schlumberger US postretirement medical plan included the following components:


(Stated in millions)
	First Quarter
	2010			2009
Service cost—benefits earned during period	$	5		$	7
Interest cost on accumulated postretirement benefit obligation		15			12
Expected return on plan assets		(1	)		(1	)
Amortization of prior service cost		(5	)		(7	)
Amortization of net loss		4			3

	$	18		$	14

During the first quarter of 2010, Schlumberger made a contribution to the US postretirement medical plan of $26 million.