Other Property and Equipment

Net Gains on Sales of Fixed Assets

A summary by asset class of (gains) or losses on sales of fixed assets for the Current Quarter, the Prior Quarter, the Current Period and the Prior Period is as follows:



	Three Months Ended June 30,						Six Months Ended June 30,
	2014			2013			2014			2013
	($ in millions)
Compressors	$	(94	)	$	—		$	(120	)	$	—
Gathering systems and treating plants	10			(109		)	13			(179		)
Oilfield services equipment	(9		)	—			(7		)	1
Buildings and land	1			1			1			23
Other	(1		)	(1		)	(2		)	(3		)
Total net gains on sales of fixed assets	$	(93	)	$	(109	)	$	(115	)	$	(158	)

Compressors. In the Current Quarter, we sold 337 compressors and related equipment to Exterran Partners, L.P. for approximately $362 million. We recorded a $93 million gain associated with the transaction. In the Current Period, we also sold 102 compressors and related equipment to Access Midstream Partners, L.P. for proceeds of approximately $159 million. We recorded a $24 million gain associated with the transaction.

Gathering Systems and Treating Plants. In the Prior Quarter, we sold our wholly owned subsidiary Granite Wash Midstream Gas Services, L.L.C. (GWMGS) to MarkWest Oklahoma Gas Company, L.L.C., a wholly owned subsidiary of MarkWest Energy Partners, L.P. (NYSE:MWE), for net proceeds of approximately $245 million. We recorded a $106 million gain associated with this transaction. GWMGS owned certain midstream assets in the Anadarko Basin that service the Granite Wash and Hogshooter formations. The transaction with MWE included long-term fixed fee arrangements for gas gathering, compression, treating and processing services. In the Prior Period, we also sold our interest in certain gathering system assets in Pennsylvania to Western Gas Partners, LP (NYSE:WES) for proceeds of approximately $134 million. We recorded a $56 million gain associated with this transaction.

Oilfield Services Equipment. In the Current Quarter, we sold substantially all of our crude oil hauling assets for approximately $44 million. We recorded a $23 million gain associated with the transaction. Also, during the Current Quarter, we sold 14 rigs for approximately $14 million and recorded a $14 million loss.

Buildings and Land. In the Prior Period, we recorded net losses of $23 million on sales of buildings and land located primarily in our Barnett Shale operating area.

Assets Held for Sale

In 2013, we determined we would sell certain of our buildings and land (other than our core campus) in the Oklahoma City area. In addition, as of June 30, 2014, we were continuing to pursue the sale of various land and buildings located in the Fort Worth, Texas area. We are also pursuing the sale of certain compressors. Land and buildings are recorded under our other segment, and compressors are reported under our marketing, gathering and compression operating segment. These assets are being actively marketed, and we believe it is probable they will be sold over the next 12 months. As a result, these assets are reflected as held for sale as of June 30, 2014. Natural gas and oil properties that we intend to sell are not presented as held for sale pursuant to the rules governing full cost accounting for oil and gas properties. A summary of the assets held for sale on our condensed consolidated balance sheets as of June 30, 2014 and December 31, 2013 is detailed below.



	June 30, 2014		December 31, 2013
	($ in millions)
Buildings and land, net of accumulated depreciation	$	183	$	405
Compressors, net of accumulated depreciation	64		285
Oilfield services equipment, net of accumulated depreciation	—		29
Gathering systems and treating plants, net of accumulated depreciation	—		11
Property and equipment held for sale, net	$	247	$	730

In March 2014, management determined that certain properties in the Fort Worth area of the Barnett Shale, previously classified as held for sale as of December 31, 2013, would be reclassified as held for use. As of December 31, 2013, management’s development plan for the Barnett Shale did not contemplate the need for the underlying properties (for pad drilling in certain urban locations around Fort Worth) and the properties were marketed for sale. Management modified its development plan and consequently these properties no longer met the criteria to be classified as held for sale as of March 31, 2014. The properties were measured at the lesser of their fair value at the date of the decision not to sell or their carrying amount before being classified as held for sale. During the Current Period, we reclassified $116 million of such properties to held for use classification. There was no impact to the statement of operations related to this reclassification in the Current Period.