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Divestitures and Acquisitions | 9 Months Ended
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Jun. 30, 2017
Divestitures and Acquisitions [Abstract] |
Divestitures and Acquisitions [Text Block] | Divestitures and Acquisitions Divestiture of Atmos Energy Marketing (AEM) On October 29, 2016, we entered into a Membership Interest Purchase Agreement (the Agreement) with CenterPoint Energy Services, Inc., a subsidiary of CenterPoint Energy, Inc. (CES) to sell all of the equity interests of AEM. The transaction closed on January 3, 2017, with an effective date of January 1, 2017. CES paid a cash purchase price of $38.3 million plus working capital of $109.0 million for total cash consideration of $147.3 million. Of this amount, $7.0 million was placed into escrow and will be paid to the Company within 24 months of the closing date, net of any indemnification claims agreed upon between the two companies. We recognized a net gain of $0.03 per diluted share on the sale in the second quarter of fiscal 2017 and completed the working capital true–up during the third quarter of fiscal 2017. The operating results of our natural gas marketing reportable segment have been reported on the condensed consolidated statements of income as income from discontinued operations, net of income tax. Accordingly, expenses related to allocable general corporate overhead and interest expense are not included in these results. The decision to report this segment as a discontinued operation was predicated, in part, on the following qualitative and quantitative factors: 1) the disposal resulted in the company becoming a fully regulated entity; 2) the fact that an entire reportable segment was disposed of and 3) the fact the disposed segment represented in excess of 30 percent of consolidated revenues over the last five fiscal years. The tables below set forth selected financial and operational information related to assets, liabilities and operating results related to discontinued operations. Operating expenses include operation and maintenance expense, provision for doubtful accounts, depreciation and amortization expense and taxes, other than income. Additionally, assets and liabilities related to our natural gas marketing operations are classified as “held for sale” on our consolidated balance sheet at September 30, 2016. Prior period revenues and expenses associated with these assets have been reclassified into discontinued operations. This reclassification had no impact on previously reported consolidated net income. The following tables present statement of income data related to discontinued operations:
| Three Months Ended June 30
| 2017 |  | 2016
| (In thousands)
Operating revenues | $ | — |  |  | $ | 200,213 |
Purchased gas cost | — |  |  | 184,398 |
Operating expenses | — |  |  | 7,047 |
Operating income | — |  |  | 8,768 |
Other nonoperating expense | — |  |  | (304 | )
Income from discontinued operations before income taxes | — |  |  | 8,464 |
Income tax expense | — |  |  | 3,414 |
Net income from discontinued operations | $ | — |  |  | $ | 5,050 |
| Nine Months Ended June 30
| 2017 |  | 2016
| (In thousands)
Operating revenues | $ | 303,474 |  |  | $ | 728,989 |
Purchased gas cost | 277,554 |  |  | 698,445 |
Operating expenses | 7,874 |  |  | 19,940 |
Operating income | 18,046 |  |  | 10,604 |
Other nonoperating expense | (211 | ) |  | (1,937 | )
Income from discontinued operations before income taxes | 17,835 |  |  | 8,667 |
Income tax expense | 6,841 |  |  | 3,495 |
Income from discontinued operations | 10,994 |  |  | 5,172 |
Gain on sale from discontinued operations, net of tax ($10,215 and $0) | 2,716 |  |  | — |
Net income from discontinued operations | $ | 13,710 |  |  | $ | 5,172 |
The following table presents a reconciliation of the carrying amounts of major classes of assets and liabilities of our natural gas marketing's operations to total assets and liabilities classified as held for sale:
| June 30, 2017 |  | September 30, 2016
| (In thousands)
Assets: |  |  |
Net property, plant and equipment | $ | — |  |  | $ | 11,905 |
Accounts receivable | — |  |  | 93,551 |
Gas stored underground | — |  |  | 54,246 |
Other current assets | — |  |  | 14,711 |
Goodwill | — |  |  | 16,445 |
Deferred charges and other assets | — |  |  | 435 |
Total assets of the disposal group classified as held for sale in the statement of financial position (1) | — |  |  | 191,293 |
Cash | — |  |  | 25,417 |
Other assets | — |  |  | 5 |
Total assets of disposal group in the statement of financial position | $ | — |  |  | $ | 216,715 |
Liabilities: |  |  |
Accounts payable and accrued liabilities | $ | — |  |  | $ | 72,268 |
Other current liabilities | — |  |  | 9,640 |
Deferred credits and other | — |  |  | 316 |
Total liabilities of the disposal group classified as held for sale in the statement of financial position (1) | — |  |  | 82,224 |
Intercompany note payable | — |  |  | 35,000 |
Tax liabilities | — |  |  | 15,471 |
Intercompany payables | — |  |  | 14,139 |
Other liabilities | — |  |  | 3,284 |
Total liabilities of disposal group in the statement of financial position | $ | — |  |  | $ | 150,118 |
(1) | Amounts in the comparative period are classified as current and long term in the statement of financial position.
The following table presents statement of cash flow data related to discontinued operations:
| Nine Months Ended June 30
| 2017 |  | 2016
| (In thousands)
Depreciation and amortization expense | $ | 185 |  |  | $ | 1,743 |
Capital expenditures | $ | — |  |  | $ | 179 |
Noncash gain (loss) in commodity contract cash flow hedges | $ | 18,744 |  |  | $ | (33,898 | )
Acquisition of EnLink Pipeline On December 20, 2016, we executed a purchase and sale agreement to acquire the general partnership and limited partnership interests in EnLink North Texas Pipeline, LP (EnLink Pipeline) from EnLink Energy GP, LLC and EnLink Midstream Operating, LP for a cash purchase price of $85 million, plus working capital of $1.1 million. EnLink Pipeline's primary asset was a 140–mile natural gas pipeline located on the north side of the Dallas–Fort Worth Metroplex. The $85 million purchase price has been allocated, based on fair value using observable market inputs, to the net book value of the acquired pipeline.

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- Definition The entire disclosure for business combinations, including leverage buyout transactions (as applicable), and divestitures. This may include a description of a business combination or divestiture (or series of individually immaterial business combinations or divestitures) completed during the period, including background, timing, and assets and liabilities recognized and reclassified or sold. This element does not include fixed asset sales and plant closings. + References No definition available. + Details
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