v2.4.0.8
Segment Information (Note)
 6 Months Ended
Jun. 30, 2014
Segment Reporting, Disclosure of Entity's Reportable Segments [Abstract]  
Segment Information Disclosure [Text Block]
Segment Information
As of June 30, 2014, we have two reportable operating segments, each of which is managed separately because of the nature of its operations. The exploration and production operating segment is responsible for finding and producing natural gas, oil and NGL. The marketing, gathering and compression operating segment is responsible for marketing, gathering and compression of natural gas, oil and NGL. In addition, prior to the spin-off described in Note 2, our former oilfield services operating segment was responsible for drilling, oilfield trucking, oilfield rentals, hydraulic fracturing and other oilfield services operations for both Chesapeake-operated wells and wells operated by third parties. Our former oilfield services segment’s historical financial results for periods prior to the spin-off continue to be included in our historical financial results as a component of continuing operations as reflected in the tables below.
Management evaluates the performance of our segments based upon income (loss) before income taxes. Revenues from the sale of natural gas, oil and NGL related to Chesapeake’s ownership interests by the marketing, gathering and compression operating segment are reflected as revenues within our exploration and production operating segment. Such amounts totaled $2.188 billion, $1.933 billion, $4.596 billion and $3.678 billion for the Current Quarter, the Prior Quarter, the Current Period and the Prior Period, respectively. Revenues generated by our former oilfield services operating segment for work performed for Chesapeake’s exploration and production operating segment were reclassified to the full cost pool based on Chesapeake’s ownership interest. Revenues reclassified totaled $274 million, $377 million, $544 million and $735 million the Current Quarter, the Prior Quarter, the Current Period and the Prior Period, respectively. No income was recognized in our condensed consolidated statements of operations related to oilfield services performed for Chesapeake-operated wells.
The following table presents selected financial information for Chesapeake’s operating segments:
 
 
Exploration
and
Production
 
Marketing,
Gathering
and
Compression 
 
Former
Oilfield
Services  
 
Other  
 
Intercompany
Eliminations
 
Consolidated 
Total
 
 
($ in millions)
Three Months Ended
June 30, 2014:
 
 
 
 
 
 
 
 
 
 
 
 
Revenues
 
$
1,704

 
$
5,355

 
$
552

 
$
3

 
$
(2,462
)
 
$
5,152

Intersegment revenues
 
—

 
(2,188
)
 
(274
)
 
—

 
2,462

 
—

Total revenues
 
$
1,704

 
$
3,167

 
$
278

 
$
3

 
$
—

 
$
5,152

 
 
 
 
 
 
 
 
 
 
 
 
 
Income (Loss) Before
Income Taxes
 
$
410

 
$
109

 
$
19

 
$
(20
)
 
$
(147
)
 
$
371

 
 


 


 


 


 


 


Three Months Ended
June 30, 2013:
 
 
 
 
 
 
 
 
 
 
 
 
Revenues
 
$
2,406

 
$
3,990

 
$
582

 
$
14

 
$
(2,317
)
 
$
4,675

Intersegment revenues
 
—

 
(1,933
)
 
(377
)
 
(7
)
 
2,317

 
—

Total revenues
 
$
2,406

 
$
2,057

 
$
205

 
$
7

 
$
—

 
$
4,675

 
 
 
 
 
 
 
 
 
 
 
 
 
Income (Loss) Before
Income Taxes
 
$
1,162

 
$
158

 
$
4

 
$
(213
)
 
$
(102
)
 
$
1,009

 
 
 
 
 
 
 
 
 
 
 
 
 
Six Months Ended
June 30, 2014:
 
 
 
 
 
 
 
 
 
 
 
 
Revenues
 
$
3,471

 
$
10,777

 
$
1,060

 
$
30

 
$
(5,140
)
 
$
10,198

Intersegment revenues
 
—

 
(4,596
)
 
(544
)
 
—

 
5,140

 
—

Total revenues
 
$
3,471

 
$
6,181

 
$
516

 
$
30

 
$
—

 
$
10,198

 
 
 
 
 
 
 
 
 
 
 
 
 
Income (Loss) Before
Income Taxes
 
$
1,098

 
$
213

 
$
(16
)
 
$
39

 
$
(217
)
 
$
1,117

 
 
 
 
 
 
 
 
 
 
 
 
 
Six Months Ended
June 30, 2013:
 
 
 
 
 
 
 
 
 
 
 
 
Revenues
 
$
3,858

 
$
7,516

 
$
1,127

 
$
23

 
$
(4,426
)
 
$
8,098

Intersegment revenues
 
—

 
(3,678
)
 
(735
)
 
(13
)
 
4,426

 
—

Total revenues
 
$
3,858

 
$
3,838

 
$
392

 
$
10

 
$
—

 
$
8,098

 
 
 
 
 
 
 
 
 
 
 
 
 
Income (Loss) Before
Income Taxes
 
$
625

 
$
272

 
$
26

 
$
451

 
$
(200
)
 
$
1,174

 
 
 
 
 
 
 
 
 
 
 
 
 
As of
June 30, 2014:
 
 
 
 
 
 
 
 
 
 
 
 
Total Assets
 
$
35,527

 
$
2,334

 
$
50

 
$
5,283

 
$
(2,067
)
 
$
41,127

As of
December 31, 2013:
 
 
 
 
 
 
 
 
 
 
 
 
Total Assets
 
$
35,341

 
$
2,430

 
$
2,018

 
$
5,750

 
$
(3,757
)
 
$
41,782