This Prospectus Supplement is Pricing Supplement No. 2 filed pursuant to Rule 424(b)(2) Dated December 15, 1999 under Registration Statement PROSPECTUS SUPPLEMENT dated Nos.333-82893 and 333-82893-01 August 3, 1999 to PROSPECTUS dated July 20, 1999. Cusip No. 88168L DT 0 TEXACO CAPITAL INC. SECOND SERIES 1999 MEDIUM-TERM NOTES Guaranteed by Texaco Inc. Notes Mature More Than 9 Months From Date of Issue Principal Amount: $30,000,000.00 Maturity Date: January 10, 2010 Specified Currency: U.S. Dollar Extendible: No Fixed Rate Note: Yes Final Maturity Date: N/A Interest Rate: 7.25% Issue Price: 100.000% Record Dates: 15 calendar days prior to Interest Payment Dates Interest Payment Dates: Monthly, beginning February 10, 2000 and on the 10th of every month thereafter through and including maturity. Original Issue Date: January 10, 2000 Book-Entry Note: Yes Denominations: Minimum denominations of $1,000 Certificated Note: No and increments of $1,000 thereafter. Redemption Provisions: The notes may be redeemed monthly at Issuer's option at par in whole beginning January 10, 2001 and on the 10th day of every month thereafter up to Maturity. Required notice is 30 Zero-Coupon Note: No days prior to call. Floating Rate Note: No Repayment Provisions: No Base Rate: N/A Currency Indexed Note: No - CD Rate: N/A - Denominated Currency: N/A - Commercial Paper Rate: N/A - Indexed Currency: N/A - Federal Funds Rate: N/A - Face Amount: N/A - LIBOR: N/A - Base Exchange Rate: N/A - Treasury Rate: N/A - Calculation Agent: N/A - Reference Dealer: N/A - Other: N/A Commodity Indexed Notes: No Initial Interest Rate: N/A Other Terms: No Interest Reset Period: N/A Interest Reset Dates: N/A Interest Determination Dates: N/A Interest Payment Period: N/A Interest Payment Dates: N/A Index Maturity: N/A Maximum Interest Rate: N/A Minimum Interest Rate: N/A Salomon Smith Barney, Inc. Spread: N/A -------------------------- Spread Multiplier: N/A Name of Agent Issuer Able to Change Spread or Spread Multiplier: N/A