v2.4.0.6
Segment Information
 6 Months Ended
Jun. 30, 2012
Segment Information [Abstract]  
Segment Information

20. Segment Information

 

Devon manages its operations through distinct operating segments, or divisions, which are defined primarily by geographic areas. For financial reporting purposes, Devon aggregates its U.S. divisions into one reporting segment due to the similar nature of the businesses. However, Devon's Canadian division is reported as a separate reporting segment primarily due to the significant differences between the U.S. and Canadian regulatory environments. Devon’s segments are all primarily engaged in oil and gas producing activities. Revenues are all from external customers.

 

 

 

 

 

 

U.S.

Canada

Total

 

(In millions)

Three Months Ended June 30, 2012:

 

Oil, gas and NGL sales...................................................................................

$     1,014

$         603

$     1,617

Oil, gas and NGL derivatives........................................................................

$         665

$           —

$         665

Marketing and midstream revenues...........................................................

$         250

$           27

$         277

Depreciation, depletion and amortization.................................................

$         439

$         245

$         684

Interest expense..............................................................................................

$           84

$           15

$           99

Earnings from continuing operations before income taxes....................

$         727

$             7

$         734

Income tax expense (benefit)......................................................................

$         259

$            (2)

$         257

Earnings from continuing operations.........................................................

$         468

$             9

$         477

Capital expenditures......................................................................................

$     1,985

$         384

$     2,369

 

 

 

 

 

Three Months Ended June 30, 2011:

                

                 

            

Oil, gas and NGL sales...................................................................................

$     1,438

$         762

$     2,200

Oil, gas and NGL derivatives........................................................................

$         416

$           —

$         416

Marketing and midstream revenues...........................................................

$         554

$           50

$         604

Depreciation, depletion and amortization.................................................

$         350

$         200

$         550

Interest expense..............................................................................................

$           40

$           45

$           85

Earnings from continuing operations before income taxes....................

$     1,148

$         230

$     1,378

Income tax expense......................................................................................

$     1,135

$           59

$     1,194

Earnings from continuing operations.........................................................

$           13

$         171

$         184

Capital expenditures......................................................................................

$     1,499

$         334

$     1,833

 

 

 

 

 

Six Months Ended June 30, 2012:

                

                 

            

Oil, gas and NGL sales...................................................................................

$     2,250

$     1,282

$     3,532

Oil, gas and NGL derivatives........................................................................

$         810

$           —

$         810

Marketing and midstream revenues...........................................................

$         649

$           65

$         714

Depreciation, depletion and amortization.................................................

$         870

$         494

$     1,364

Interest expense..............................................................................................

$         155

$           31

$         186

Earnings from continuing operations before income taxes....................

$     1,260

$           85

$     1,345

Income tax expense......................................................................................

$         444

$           10

$         454

Earnings from continuing operations.........................................................

$         816

$           75

$         891

Property and equipment, net........................................................................

$   18,818

$     8,423

$   27,241

Total assets......................................................................................................

$   24,916

$   18,554

$   43,470

Capital expenditures (2)................................................................................

$     3,531

$     1,183

$     4,714

 

 

 

 

 

Six Months Ended June 30, 2011:

                

                 

            

Oil, gas and NGL sales...................................................................................

$     2,650

$     1,410

$     4,060

Oil, gas and NGL derivatives........................................................................

$         248

$           —

$         248

Marketing and midstream revenues...........................................................

$         977

$           82

$     1,059

Depreciation, depletion and amortization.................................................

$         668

$         388

$     1,056

Interest expense..............................................................................................

$           77

$           89

$         166

Earnings from continuing operations before income taxes....................

$     1,586

$         372

$     1,958

Income tax expense......................................................................................

$     1,290

$           95

$     1,385

Earnings from continuing operations.........................................................

$         296

$         277

$         573

Property and equipment, net........................................................................

$   14,472

$     7,955

$   22,427

Total continuing assets (1)............................................................................

$   19,972

$   18,435

$   38,407

Capital expenditures......................................................................................

$     2,751

$         880

$     3,631

____________________________

(1)     Amounts in the table above do not include assets held for sale related to Devon’s discontinued operations, which totaled $130 million at June 30, 2011. There were no assets held for sale at June 30, 2012.

Capital expenditures for the first six months of 2012 presented above include the $399 million revision to Devon’s asset retirement obligations presented in Note 14. Of the $399 million, $110 million relates to the U.S. and $289 million relates to Canada.