Fall 2006 - Halliburton

Fall 2006
Summer 2004
Feature Stories
Halliburton Stock Fund Scheduled to Close 1
KBR Master Trust to be Established 3
Investment Know-How
Diversification Key to a Healthy Portfolio 4
Lifestyles
Who Knew Investing was Like Golf? 6
Focus on Funds
S&P 500 Index Fund and
Mid Cap Equity Index Fund 7
Risk Assessment
Should Interest Rates Interest You? 8
Newsstand
Market Update 9
Retiree Corner 10
Fund Performance Update 11
Current news
concerning your
Savings Plan

The Halliburton Trust Investments Department
Seated, left to right: Brinda Maxwell, Nat Duffield.
Back row, left to right: Wendy Wang, Sharon Parkes, Maria Bacaling.
Trust Talk is published quarterly by the Halliburton Trust Investments Department. It is designed to provide Savings Plan
members with conventional wisdom on saving and investing. The information included in Trust Talk is not intended as
investment advice. You may want to consult a financial advisor before making any investment decisions.
2
Suggestions or comments about Trust Talk can be sent to Nat Duffield or Sharon Parkes, Trust Investments Department,
10200 Bellaire Blvd., Houston, Texas 77072.

Feature
Halliburton Stock Fund Scheduled to Close
Changes Coming to the Savings Plan
Beginning January 1, 2007, there will be some changes in the Savings Plan. This issue of Trust Talk will explain
those changes and what impact they may have on your investments. Please read the feature stories carefully.
If you have any questions, contact your Benefits Service Center.
As of January 1, 2007, the Halliburton Stock
Fund (HSF) will be closed to new
investments. That means participants in the
Savings Plan will not be allowed to make
new contributions, transfers or loan repayments into
the HSF as of that date. If you currently allocate part of
your contribution to the HSF, you must select a new
fund within the Savings Plan to receive those
contributions by December 27, 2006. If you don’t select
a new fund by the deadline, any contributions still
allocated toward the HSF will be redirected to the
Moderate Premixed
Portfolio. You can make
this change at the Your
Benefits Resources Web
site or by calling the
Benefits Service Center.
The Case for Change
The Company
understands that many
employees will rely on
the Savings Plan for the
majority of their
retirement income and is
taking steps to improve
the diversification and
lessen the risks within
the fund options.
Investing in singlecompany
stock funds
exposes retirement
savings to extreme shifts
in a single stock price.
Many factors outside a
company’s control can
affect its stock price. And
even the healthiest and strongest companies can
experience downturns in their stock price. Removal of
the HSF makes sense for the following reasons:
• Removes a non-diversified fund from the
Savings Plan;
• Removes the highest risk investment option; and
• Encourages diversification for all plan participants.
This decision supports
the Savings Plan’s
objectives and
investment strategies to
provide stable, long-term
retirement savings
growth. Removing the
HSF investment option
does not reflect a lack of
confidence in the current
or future performance of
the Company.
The Importance of
Diversification
Being heavily invested in
single-company stock
funds (regardless of the
stock involved) within a
retirement plan is not
generally recommended
by financial advisors.
That’s because singlecompany
stock funds are
vulnerable to extreme
shifts in a single stock
1

price. To protect against individual stock fluctuations,
financial advisors recommend diversification within
a retirement savings plan. Successful investing is
generally built on the principle of diversification and
is a feature of all the remaining Savings Plan’s
investment funds. (See “Investment Know-How” in this
issue for more information on diversification.)
Transfer Balance to Other Funds
The Company is providing a three-year sunset period
beginning January 1, 2007, so that participants can
transition their funds out of the Halliburton Stock Fund
over time — thereby making the most of dollar cost
averaging. (For more information on dollar cost
averaging, see the “Investment Know-How” section of
Trust Talk Spring 2006.) Any balance in the HSF at the
end of the sunset period will be transferred to an
investment fund chosen by the Company.
The Company will monitor the overall move out of the
HSF during the sunset period and, if necessary, may
implement periodic transfers and/or change the sunset
period to gradually decrease the HSF balance. In the
meantime, you are encouraged to begin planning an
exit strategy from the HSF.
Rebalancing Requirement Lifted
Currently, if you rebalance your Savings Plan account
by moving funds into or out of the HSF, the percentage
of your Savings Plan account balance invested in the
HSF is automatically reduced to 15% of your total
account. Effective January 1, 2007, this rebalancing
requirement will be eliminated to allow participants
more flexibility in moving out of the HSF. Thus,
rebalancing your Savings Plan account on or after
January 1, 2007, will no longer trigger the automatic
reduction of your HSF balance to 15% of your total
portfolio. This change will allow you to gradually move
your money out of the Halliburton Stock Fund and into
other investment options.
Investing in the Future
Although the HSF will no longer be available as an
investment option in the Savings Plan, you can still
invest in the Company through the Employee Stock
Purchase Plan and through the open market. You may
want to consult a financial advisor before making any
investment decisions.
Dates to Remember
December 27, 2006
Future contributions to the HSF must be
redirected to a new fund or funds by
December 27, 2006. If you do not make a
new selection, your future contributions
will be invested in the Moderate
Premixed Portfolio. You can change your
future contributions at the Your Benefits
Resources Web site or by calling the
Benefits Service Center.
January 1, 2007
The Halliburton Stock Fund will be frozen.
Plan participants will not be allowed to
make new contributions, transfers or loan
repayments into the HSF.
Three years beginning January 1, 2007
You must transfer your HSF balance into
other funds within the Savings Plan
during this sunset period. Any balance
remaining in the HSF after this time will
be transferred to an investment fund
chosen by the Company. You can make
transfers at the Your Benefits Resources
Web site or by calling the Benefits
Service Center.
2

Feature
KBR Master Trust to be Established
In anticipation of KBR’s full and complete
separation, KBR assets will be separated from
the Halliburton Master Trust in the near future.
The KBR Savings Plan assets will be used to
establish a dedicated KBR Master Trust. The KBR
Master Trust will collect and invest all employer and
employee funds contributed to the KBR and Brown &
Root Savings Plans. These assets will be held by
trustee and custodian, State Street Bank and Trust
Company. By law, the KBR Master Trust assets must
be used solely for the benefit of its plan participants
or their beneficiaries and are not subject to the
claims of any KBR or Halliburton creditor.
It is intended that the KBR Master Trust will offer
KBR participants with the Premixed Portfolios and
Single Focus Fund investment options currently
offered under the Halliburton Master Trust with no
substantial change to how the funds are managed.
As fund managers will now be overseeing two
accounts, each with a smaller asset pool (as
compared to the joint assets), there will be a slight
increase in fees and expenses to the investment
options under both the Halliburton and KBR Master
Trusts. However, even with the increase in fees and
expenses, both the Halliburton and KBR plans will
continue to offer investment options with fee
structures below what are typically found in mutual
funds that are available to the general public.
3

Investment Know-How
Diversification Key to a Healthy Portfolio
Whoever said “variety is the spice of life” knew what he
was talking about. He probably wasn’t thinking about
investing when coining the phrase, but in fact, “variety”
may be the single most important concept investors
need to understand.
In the world of stocks, bonds and other investments,
variety means diversification. Diversification is the
practice of spreading your investments across different
asset classes, in order to minimize your risk of suffering a
major loss. To use another popular idiom, diversification
means “don’t put all your eggs in one basket.”
Why is diversification so important? The simplest answer
is that it provides protection from market risk. With any
investment, you’re taking a risk that it may decline in
value; generally, the more risk you take, the more
potential you have to be rewarded with higher returns. A
well-diversified portfolio is one that balances investments
with higher and lower risk/reward profiles, so that a
downturn in one asset class won’t devastate the entire
portfolio. (For more information on the different types of
risks, see the Fall 2004 issue of Trust Talk.)
Avoid the Ups and Downs
The chart on page 5 illustrates the need for
diversification. It tracks the performance of the Single
Focus Funds in the Savings Plan over the last 10 years.
As you can see, the performance of each fund varies
from year to year. For example, small-cap stocks topped
the charts in 1996, took a downturn in 1998, hit bottom in
2002, and skyrocketed in 2003! If you had invested only in
small-cap stocks over the last decade, your retirement
savings would have taken several harrowing turns. And
it’s a risky game to bet that the fund will be “up” when
you need to withdraw the money.
Mix and Match
Selecting from the Savings Plan’s Single Focus Funds
puts the power of diversification in your hands. Your
fund choices should be based on a combination of
factors, including how many years you have until
retirement, your investment objectives, your risk
tolerance, and what other investments you have
outside of the plan. Young adults typically have a higher
tolerance for risk and can allocate more money to
higher risk (e.g., stock) funds, and a smaller percentage
to income-producing (e.g., bond or cash alternative)
funds, because they have many years to ride out the
volatility of the stock market in hopes of achieving
higher returns. An investor nearing retirement age or
with a lower tolerance for risk may choose just the
opposite strategy, putting most of his/her assets in
stable, income-producing investments, and a smaller
percentage in stock funds.
Let the Plan Diversify for You
The Savings Plan’s four Premixed Portfolios are
designed to take the guesswork out of diversification
for participants who don’t want to create their own
portfolios. Often called lifestyle funds, the Premixed
Portfolios let you select your investments according to
targeted risk and return profiles: Stable Value,
Conservative, Moderate and Aggressive. Each Portfolio
is professionally managed, self-balancing and well
diversified. Any one of them can be used as a complete
investment strategy.
4

Single Focus Funds’ 10-Year Performance*
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005
RETURN Strongest
Small Cap
36.3%
LCGrowth
24.7%
LCValue
24.2%
S&P 500
22.9%
Mid Cap
19.3%
LCGrowth
36.5%
S&P 500
33.3%
Small Cap
33.1%
LCValue
32.4%
Mid Cap
32.2%
LCGrowth
31.1%
S&P 500
28.5%
Mid Cap
19.2%
LCValue
16.4%
Non U.S.
12.4%
Non U.S.
24.6%
S&P 500
20.9%
LCGrowth
16.8%
Mid Cap
14.8%
Small Cap
8.5%
Mid Cap
17.7%
LCValue
16.6%
Small Cap
10.7%
Bond
Fund
10.6%
Balanced
10.2%
Bond
Fund
8.2%
Balanced
4.1%
Small Cap
2.5%
Mid Cap
-0.5%
LCValue
-1.8%
Bond
Fund
10.3%
Balanced
-6.9%
Non U.S.
-13.7%
LCValue
-14.1%
Mid Cap
-14.5%
Small Cap
40.0%
Mid Cap
35.6%
Non U.S.
33.1%
S&P 500
28.6%
LCValue
28.4%
Non U.S.
18.5%
Mid Cap
16.5%
LCValue
15.9%
Small Cap
14.2%
Balanced
11.3%
Non U.S.
19.8%
Mid Cap
12.5%
LCValue
8.0%
Balanced
6.9%
LCGrowth
6.4%
Balanced
16.2%
Balanced
23.2%
Balanced
12.1%
Balanced
4.3%
Non U.S.
-6.7%
S&P 500
-12.0%
S&P 500
-22.2%
LCGrowth
27.3%
S&P 500
10.8%
S&P 500
4.8%
Non U.S.
15.8%
Bond
Fund
9.6%
Bond
Fund
8.3%
Bond
Fund
-0.7%
S&P 500
-9.2%
LCGrowth
-18.2%
Small Cap
-23.3%
Balanced
20.8%
LCGrowth
7.9%
Bond
Fund
2.3%
Weakest
Bond
Fund
3.7%
Non U.S.
8.0%
Small Cap
-7.7%
LCValue
-6.0%
LCGrowth
-11.8%
Non U.S.
-18.8%
LCGrowth
-27.6%
Bond
Fund
4.0%
Bond
Fund
4.2%
Small Cap
1.6%
* None of the funds were in existence until 1999 or later. To provide comparative historical data, we used the managers’ returns of their
Halliburton Trust account and/or the returns from the firms’ composite accounts. Refer to the Highlights Brochure for more information on
each fund.
5

Lifestyles
Who Knew Investing was Like Golf?
Trust Talk asked several employees about how they save for
retirement. Fortunately, these employees had a lot to share.
Trust Talk will feature additional employee comments in future
issues.
Shawn Skobel, account representative sand controlpumping,
likens investing to golf. He says that similar to
needing a variety of clubs in your bag to complete a
game of golf, you need multiple investment vehicles in
your retirement portfolio to help you reach your savings
goals. Here’s what he had to say about how he is doing
on reaching his savings goals.
Shawn, how far are you from retirement?
30 years on paper...but ideally I would like to retire 10
years sooner.
How well are you doing on saving for
your retirement goal?
I believe that I am moving in the right
direction. I have been maxing out all of
my options and putting away as much as
possible in the Savings Plan, Roth IRAs and
other voluntary accounts for over 10 years
now. I still have a long way to go but can now
see the light at the end of the
tunnel...there is hope.
How do you make your investment
decisions?
I make a lot of my own decisions...but
I do like to pick the brains of a couple
of advisors that are close to the
family. I also take some time out
each week to read up on the
markets worldwide and follow up on
multiple indexes.
How often do you review your investment choices?
I review my portfolio once a quarter. I like to make sure
that my entire portfolio is diversified and not tied to one
sector or index. I find that if you look at your portfolio
each and every day you can get caught up in the hype
and lose your overall focus. This is long-term planning.
Take a step back and see if you can visualize the big
picture.
How would you describe your investment style?
Moderate aggressive. I feel like I have the risk
tolerance and time to invest in funds with higher
risk vs. reward profiles at this point of my life.
This will change as I get older and closer to
retirement.
What one piece of advice would you
give someone regarding saving for
retirement?
Educate yourself and understand what you
are doing with your money...understand
all of your options.
What one piece of
advice do you wish
someone had given
you earlier?
The sooner you start the
better...and max out all of your
options. You will thank yourself
in the long run.
6

Focus on Funds
S&P 500 Index Fund and Mid Cap Equity Index Fund
In this issue of Trust Talk, we will compare the S&P 500 Index Fund with the Mid Cap Equity Index Fund. Both of
these Single Focus Funds are located in the mid- to upper-end of the risk/return spectrum. The comparison chart
below highlights the objectives of each fund.
Conservative Premixed
Aggressive Premixed
Premixed Portfolios
Single Focus Funds
Lower
Risk/
Lower
Return
Stable Value Premixed
Bond Index
Moderate Premixed
Balanced
Large Cap Growth Equity Small Cap Equity
S&P 500 Index
Mid Cap Equity Index
Higher
Risk/
Higher
Return
Large Cap Value Equity
Non-U.S. Equity
Halliburton Stock
Now, let’s look at the details of this portfolio as of September 30, 2006.
S&P 500 Index Fund
The S&P 500 Index Fund is passively managed. It seeks
long-term growth that approximates the risk and return of
the S&P 500 Index.
The S&P 500 Index Fund invests in 500 U.S. large cap
companies, covering a large percentage of the shares that
trade in the marketplace, even though the number of
companies represented is relatively small compared to the
total number of companies within the market.
Investment Objective
How Are They Different?
Fund Composition
Mid Cap Equity Index Fund
The Mid Cap Equity Index Fund is passively managed. It
seeks long-term growth that approximates the risk and
return of the S&P MidCap 400 Index.
The Mid Cap Equity Index Fund covers 400 U.S. mid cap
companies with market capitalization of $1 - $4 billion, or
7% of the U.S. stock market.
100%
100%
U.S. Stocks
U.S. Stocks
Long-Term Potential Risk & Return
Market Risk ▲ ▲ ▲ ▲
Inflation Risk ▲
Potential Return ▲ ▲ ▲ ▲
Low Med High
Market Risk ▲ ▲ ▲ ▲
Inflation Risk ▲
Potential Return ▲ ▲ ▲ ▲ ▲
Low Med High
7

Risk Assessment
Should Interest Rates Interest You?
Every so often, we see it in the headlines of the business section:
the Federal Reserve is expected to raise (or lower) interest rates
by a quarter of a percentage point. And unless you’re about to
take out a mortgage, the news of changing rates probably
doesn’t grab your attention. But maybe it should.
Interest rates can have a more significant impact on your
personal financial situation than you may think, especially
when it comes to your investment portfolio. Understanding
how interest rates impact the economy can give you a
clearer picture of why your investments rise and fall, and
may even help guide your future investing decisions.
How Interest Rates Work
When we hear that interest rates are changing, it
means the Federal Reserve System the (“Fed”) is taking
action in an effort to regulate the growth of the
economy and control inflation. (See “How the Federal
Reserve System Affects You” in the Winter 2006 issue of
Trust Talk.) Rising interest rates tend to hurt bond prices
because bonds bought in the past at lower interest
rates become less attractive. Yet, higher interest rates
can also result in higher returns when bond income is
reinvested. The general rule of thumb in understanding
how bonds work is that as interest rates rise, bond
returns are expected to fall. As interest rates fall, bond
returns tend to go up.
Impact of Interest Rates on the Savings Plan
When interest rates rise, the total return from bonds is
likely to decline and vice versa. There are several funds
in the Savings Plan that are generally more susceptible
to fluctuations caused by interest rate changes. The
Bond Index Fund is most sensitive to changes in
interest rates because it holds 100% bonds. To
some extent, the Stable Value and Conservative
Premixed Portfolios are too. These
Premixed Portfolios hold investment
contracts which by nature will
encounter a lagging effect to changes
in interest rates. To a lesser extent, the
Balanced Fund and Moderate Premixed
Portfolio are affected by interest rates
because they hold some bonds as well.
While the remaining funds in the Savings Plan may
show some response to changing interest rates, their
broad diversification and management strategies make
them less vulnerable.
What Should You Do?
Does the effect of interest rate changes on the Bond
Index Fund, Stable Value and Conservative Premixed
Portfolios mean you should completely avoid them in
favor of other choices? Not necessarily. Bonds and
other income-producing investments are still an
important part of any well-diversified portfolio, as they
help to balance out the risk of stocks losing value from
other market-related factors.
After two years of increasing interest rates, most
experts agree that the Fed will leave them alone for the
near future, or at least for the balance of 2006. So how
should that affect your investment decisions? If history
repeats itself (of which there is no guarantee), stable
rates suggest that total return of bond funds will rise
again. If you’re nearing retirement and hold a large
percentage of bond funds, this could be especially
good news.
But be warned that attempting to predict the future is
risky business. The interest rate
environment should not be the only
factor you use to decide how you invest
your money. More importantly, your
investment time frame, risk tolerance,
and long-term investment goals
should weigh most heavily in your
asset allocation. In the end,
crafting a well diversified portfolio
and making regular contributions
over many years is the most
effective way to build a financially
secure retirement.
8

Newsstand
Market Update
The third quarter proved positive across much of the
U.S. and foreign stock markets and bond rates were
favorable. Despite a small dip early on, the U.S.
markets rallied driven by a calm inflation outlook from
the Federal Reserve Board (Fed) along with a drop in
oil prices. Both stocks and bonds performed well for
the quarter because of the Fed’s decision to hold
interest rates steady. After 17 straight increases in the
Fed’s fund rate over the past two years, prime interest
rates held steady at 5.25%. While the Fed held off on
raising rates due to the slowing growth in the economy
and the slowing housing market, a drop in gas prices at
the pump helped fuel the markets.
Most of the U.S. stock markets started the quarter with
negative returns in July. As oil prices dropped in
August, the U.S. stock
markets began their
rally. The markets ended
the quarter with positive
results in both the U.S.
stock and bond markets
as well as in the foreign
stock market. The Dow
Jones Industrial Average
(Dow) briefly climbed
above its all-time closing
high in the last days of
the quarter.
Large cap stocks and
value style holdings led
the way in the U.S.
markets outperforming
small cap and growth
style investments. There
was a wide dispersion
in performance among
the major sectors of
the market, with
telecommunications up
10.5% and energy down
3.0%. The Russell 1000
Value Index of large cap
stocks gained 6.2% and the Russell 2000 Index of
small cap stocks produced a modest 0.4% return for
the quarter.
In the foreign markets, value style investments also
outperformed growth investments with Europe leading
the region in performance for the quarter. The MSCI All
Country World Index (ACWI) ex. U.S. gained 3.9% in the
third quarter with consistent returns each month.
Emerging markets rallied during the quarter after
negative results during the second quarter. This was
primarily due to strong results in the Far East. The
Japanese market struggled during the third quarter
losing 0.7%.
Moderating inflation helped the bond market. Both
short-term rates and long-term rates fell in September
as the Fed held rates
steady for two
consecutive meetings,
saying they are pausing
to let the effects of
previous rate increases
filter through the
economy. As a result,
the markets interpreted
this to mean that the
Fed’s next move would
probably be to start
cutting interest rates. For
the quarter, the broad
Lehman Brothers
Aggregate Index
returned 3.8%. The major
segments of the U.S.
bond market produced
positive returns with
longer maturity bonds
being the best
performers. High yield
and Treasury Inflation
Protected Securities
(TIPS) also posted gains
for the quarter.
9

Newsstand
Retiree Corner
Top Costs in Retirement
A common rule of thumb is that you’ll need 70-80% of
your pre-retirement income per year during your
retirement years. To help you think about how much
you’ll spend during retirement, and how much you need
to save now, here are the most typical big-ticket costs
you can expect during retirement.
1. Healthcare: It’s a fact of life for most retirees. As we
age, we require more trips to the doctor and more
regular prescriptions, which continue to get more
expensive every year with the increase in the
availability of breakthrough treatments and the fact
that people are living longer lives. Of course,
Medicare doesn’t cover it all.
2. Travel and entertainment: Since you’ll no longer
spend your days at a job, you may actually increase
your spending in other areas. Taking trips around the
world, maintaining a regular golf habit, eating out,
and making road trips aren’t cheap.
3. Housing: You’ll still need a roof over your head and
food on the table. With inflation, those things will
cost more years from now than they do today. And
these days, fewer Americans are staying put long
enough to pay off their homes. In fact, many
increase their housing costs in retirement by buying
that dream home or waterfront property.
4. Living assistance: At some point, a large
percentage of people have to pay for some type of
assisted living arrangement, such as a nursing home
or home health care. In your early retirement years,
you may help your aging parents with the expense;
later, you may need the care yourself.
5. Savings: That’s right, even after you’re retired, you’ll
probably need to continue socking away and/or
continuing to invest money for the long road of
retirement. With life expectancies getting longer, you
could be looking at 30 years or more with no job.
Even if you’ve been a dedicated saver, you may not
have enough to last throughout retirement by the
time you reach retirement age.
10

Fund Performance Update
Halliburton Company Employee Benefit Master Trust
for the period ended September 30, 2006
General investment policy
Balanced Fund Aggressive Moderate Conservative
U.S. stocks 65.0% 70.0% 43.0% 26.0%
Russell 3000 Index
Non-U.S. stocks — 22.5% 14.0% 9.0%
MSCI EAFE Index
Emerging market stocks — 7.5% 5.0% 3.0%
MSCI Emerging Market Free Index
U.S. broad market bonds 35.0% — 33.0% 20.0%
Lehman Aggregate Bond Index
U.S. high yield bonds — — 5.0% 4.0%
Merrill Lynch High Yield Bond Index
iMoneyNet Money Market Fund Average — — — 38.0%
Performance
10 Years* 5 Years* 3 Years* 1 Year 3rd Quarter
PREMIXED PORTFOLIOS
Stable Value Premixed Portfolio (SVPP) 6.1% 5.1% 5.0% 5.2% 1.3%
iMoneyNet Money Market Fund Average 3.4% 1.8% 2.3% 4.2% 1.2%
Conservative Premixed Portfolio (CPP) 7.2% 7.5% 8.6% 6.3% 2.7%
CPP Index Composite 6.3% 6.3% 8.0% 7.5% 3.1%
Moderate Premixed Portfolio (MPP) 8.3% 9.5% 12.2% 9.2% 3.6%
MPP Index Composite 7.9% 9.1% 11.7% 9.7% 4.3%
Aggressive Premixed Portfolio (APP) 8.6% 10.6% 16.1% 11.7% 3.2%
APP Index Composite 8.4% 11.0% 16.4% 13.1% 4.5%
SINGLE FOCUS FUNDS
Bond Index Fund 6.2% 4.7% 3.3% 3.7% 3.8%
Lehman Aggregate Bond Index 6.4% 4.8% 3.4% 3.7% 3.8%
Balanced Fund 9.9% 9.3% 12.4% 10.4% 5.1%
Balanced Fund Index Composite 8.2% 7.2% 9.6% 7.9% 4.4%
Large Cap Value Equity Fund 10.6% 10.0% 15.9% 11.2% 4.1%
Russell 1000 Value Index 11.2% 10.7% 17.2% 14.6% 6.2%
S&P 500 Index Fund 8.5% 6.9% 12.2% 10.7% 5.7%
S&P 500 Index 8.6% 7.0% 12.3% 10.8% 5.7%
Large Cap Growth Equity Fund 5.8% 3.5% 9.4% 6.9% 3.4%
Russell 1000 Growth Index 5.5% 4.4% 8.4% 6.0% 3.9%
Non-U.S. Equity Fund 8.3% 15.0% 23.3% 18.9% 3.2%
MSCI ACWI ex. U.S.** 7.1% 14.8% 23.2% 18.9% 3.9%
Mid Cap Equity Index Fund 13.3% 12.9% 15.1% 6.5% -1.0%
S&P MidCap 400 Index 13.4% 13.1% 15.2% 6.6% -1.1%
Small Cap Equity Fund 8.3% 10.2% 12.5% 6.8% -0.9%
Russell 2000 Index 9.1% 13.8% 15.5% 9.9% 0.4%
Halliburton Stock Fund 9.5% 21.3% 33.3% -16.0% -22.6%
*Annualized.
**Returns prior to January 1, 2005, include MSCI EAFE Index, the previous Fund benchmark.
11

Performance Notes
The Bond Index, Balanced, Large Cap Value Equity,
S&P 500 Index, Large Cap Growth Equity, Non-U.S.
Equity, and Small Cap Equity Funds were not in
existence until April 1, 1999. The Mid Cap Equity Index
Fund was not in existence until January 1, 2005. The
Conservative Premixed Portfolio was introduced
January 1, 2006.
In order to provide comparative historical returns, the
managers’ return of their Halliburton Trust account is
shown. If the Halliburton Trust had not employed a
manager for the periods presented, the firm’s
composite account return was added. All rates of
return are net of expenses. Your rate of return may vary
depending on your account activity (e.g., contributions,
withdrawals, transfers, loans, etc.) and your plan’s
administration expenses.
To help you better understand how your funds are
performing, the funds are compared with composite
returns or with appropriate indexes. The composites
are created by blending together index returns in
proportion to the investment policy of each fund (see
chart). Because there are no indexes comparable to
the Stable Value Premixed Portfolio’s investments, we
compare its return with money market funds tracked by
iMoneyNet.
Performance data represents past performance; no
assurance can be made regarding future results.
Index Definitions*
iMoneyNet Money Market Fund Average is an index of
over 700 money market funds.
Lehman Aggregate Bond Index is an index of U.S.
bonds, including government, corporate, mortgagebacked,
and asset-backed securities.
Merrill Lynch High Yield Bond Index is an index of U.S.
corporate bonds that are rated less than investment
grade but are not in default.
MSCI (Morgan Stanley Capital International) All
Country World Index (ACWI) ex. U.S. is an index of
non-U.S. equity securities listed on the stock
exchanges of developed and emerging markets.
MSCI EAFE Index is an index of non-U.S. equity
securities listed on the stock exchanges of Europe,
Australasia, and the Far East.
MSCI Emerging Market Free Index is an index of non-
U.S. equities traded in emerging markets.
Russell 1000 Growth Index focuses on the 1,000 largest
companies in the Russell 3000 Index that have lower
dividend yields and above-average growth rates.
Russell 1000 Value Index focuses on the 1,000 largest
companies in the Russell 3000 Index that have higher
dividend yields and below-average growth rates.
Russell 2000 Index measures the performance of the
2,000 smallest companies in the Russell 3000 Index.
Russell 3000 Index measures the performance of the
3,000 largest U.S. companies based on total market
capitalization. It is used as a general measure of U.S.
stock market performance.
Standard & Poor’s 500 Index is a popular standard for
measuring large-cap U.S. stock market performance.
The index includes a representative sample of 500
leading companies in prominent industries.
Standard & Poor’s MidCap 400 Index is a popular
standard for measuring mid-cap U.S. stock market
performance. The index includes a representative
sample of 400 leading companies in prominent
industries with a market capitalization of approximately
$1 - $4 billion.
*You cannot invest in any of these indexes. Fund holdings will differ
from index holdings.
12

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