Condensed Consolidating Financial Information (Tables)

6 Months Ended

Jun. 30, 2015



	June 30, 2015
	Parent/ Issuer		Combined Guarantor Subsidiaries			Intercompany Eliminations			Consolidated
	(In thousands)
ASSETS
Cash and cash equivalents	$	778	$	12,906		$	—		$	13,684
Accounts receivable	—		230,793			—			230,793
Accounts receivable – affiliates	1,037		157,368			(158,405		)	—
Prepaid expenses	—		5,764			—			5,764
Other current assets	—		127,412			—			127,412
Oil and gas properties (successful efforts method)	—		6,278,726			—			6,278,726
Other property and equipment	—		416,417			—			416,417
Accumulated depreciation, depletion, amortization and impairment	—		(1,338,486		)	—			(1,338,486		)
Investments in and advances to subsidiaries	4,470,638		—			(4,470,638		)	—
Other long-term assets	211,211		22,442			(184,031		)	49,622
Total assets	$	4,683,664	$	5,913,342		$	(4,813,074	)	$	5,783,932
LIABILITIES AND EQUITY
Accounts payable	$	—	$	10,452		$	—		$	10,452
Accounts payable – affiliates	157,368		1,037			(158,405		)	—
Other current liabilities	49,364		485,448			—			534,812
Long-term debt	2,200,000		155,000			—			2,355,000
Other long-term liabilities	—		790,767			(184,031		)	606,736
Common stock	1,373		—			—			1,373
Other stockholders’ equity	2,275,559		4,470,638			(4,470,638		)	2,275,559
Total liabilities and stockholders’ equity	$	4,683,664	$	5,913,342		$	(4,813,074	)	$	5,783,932

Condensed Consolidating Balance Sheet



	December 31, 2014
	Parent/ Issuer		Combined Guarantor Subsidiaries			Intercompany Eliminations			Consolidated
	(In thousands)
ASSETS
Cash and cash equivalents	$	776	$	45,035		$	—		$	45,811
Accounts receivable	—		306,471			—			306,471
Accounts receivable – affiliates	781		91,459			(92,240		)	—
Prepaid expenses	297		13,976			—			14,273
Other current assets	—		330,052			—			330,052
Oil and gas properties (successful efforts method)	—		5,966,140			—			5,966,140
Other property and equipment	—		313,439			—			313,439
Accumulated depreciation, depletion, amortization and impairment	—		(1,092,793		)	—			(1,092,793		)
Investments in and advances to subsidiaries	4,032,494		—			(4,032,494		)	—
Other long-term assets	178,752		25,584			(149,317		)	55,019
Total assets	$	4,213,100	$	5,999,363		$	(4,274,051	)	$	5,938,412
LIABILITIES AND EQUITY
Accounts payable	$	—	$	20,958		$	—		$	20,958
Accounts payable – affiliates	91,459		781			(92,240		)	—
Other current liabilities	49,340		724,830			—			774,170
Long-term debt	2,200,000		500,000			—			2,700,000
Other long-term liabilities	—		720,300			(149,317		)	570,983
Total stockholders’ equity	1,872,301		4,032,494			(4,032,494		)	1,872,301
Total liabilities and stockholders’ equity	$	4,213,100	$	5,999,363		$	(4,274,051	)	$	5,938,412



	Three Months Ended June 30, 2015
	Parent/ Issuer			Combined Guarantor Subsidiaries			Intercompany Eliminations		Consolidated
	(In thousands)
Total revenues	$	—		$	230,046		$	—	$	230,046
Total operating expenses	6,325			231,158			—		237,483
Operating loss	(6,325		)	(1,112		)	—		(7,437		)
Equity in earnings in subsidiaries	(34,249		)	—			34,249		—
Other income (expense)	(34,189		)	(42,449		)	—		(76,638		)
Loss before income taxes	(74,763		)	(43,561		)	34,249		(84,075		)
Income tax benefit	21,533			9,312			—		30,845
Net loss	$	(53,230	)	$	(34,249	)	$	34,249	$	(53,230	)

Condensed Consolidating Statement of Operations



	Three Months Ended June 30, 2014
	Parent/ Issuer			Combined Guarantor Subsidiaries			Intercompany Eliminations			Consolidated
	(In thousands)
Total revenues	$	—		$	372,378		$	—		$	372,378
General and administrative expenses	5,805			14,946			—			20,751
Other operating expenses	—			188,722			—			188,722
Gain on sale of properties	—			3,640			—			3,640
Operating income (loss)	(5,805		)	172,350			—			166,545
Equity in earnings in subsidiaries	65,485			—			(65,485		)	—
Interest expense, net of capitalized interest	(36,705		)	(2,285		)	—			(38,990		)
Other income (expense)	—			(65,435		)	—			(65,435		)
Income before income taxes	22,975			104,630			(65,485		)	62,120
Income tax benefit (expense)	15,858			(39,145		)	—			(23,287		)
Net income	$	38,833		$	65,485		$	(65,485	)	$	38,833

Condensed Consolidating Statement of Operations



	Six Months Ended June 30, 2015
	Parent/ Issuer			Combined Guarantor Subsidiaries			Intercompany Eliminations		Consolidated
	(In thousands)
Total revenues	$	—		$	410,433		$	—	$	410,433
General and administrative expenses	14,944			29,888			—		44,832
Other operating expenses	—			406,673			—		406,673
Operating loss	(14,944		)	(26,128		)	—		(41,072		)
Equity in earnings in subsidiaries	(21,630		)	—			21,630		—
Interest expense, net of capitalized interest	(69,415		)	(6,774		)	—		(76,189		)
Other income (expense)	4			7,765			—		7,769
Loss before income taxes	(105,985		)	(25,137		)	21,630		(109,492		)
Income tax benefit	34,714			3,507			—		38,221
Net loss	$	(71,271	)	$	(21,630	)	$	21,630	$	(71,271	)

Condensed Consolidating Statement of Operations



	Six Months Ended June 30, 2014
	Parent/ Issuer			Combined Guarantor Subsidiaries			Intercompany Eliminations			Consolidated
	(In thousands)
Total revenues	$	—		$	721,897		$	—		$	721,897
General and administrative expenses	11,417			32,854			—			44,271
Other operating expenses	—			369,034			—			369,034
Gain on sale of properties	—			187,033			—			187,033
Operating income (loss)	(11,417		)	507,042			—			495,625
Equity in earnings in subsidiaries	262,418			—			(262,418		)	—
Interest expense, net of capitalized interest	(74,129		)	(5,019		)	—			(79,148		)
Other income (expense)	3			(82,888		)	—			(82,885		)
Income before income taxes	176,875			419,135			(262,418		)	333,592
Income tax benefit (expense)	31,911			(156,717		)	—			(124,806		)
Net income	$	208,786		$	262,418		$	(262,418	)	$	208,786



	Six Months Ended June 30, 2015
	Parent/ Issuer			Combined Guarantor Subsidiaries			Intercompany Eliminations		Consolidated
	(In thousands)
Net cash provided by (used in) operating activities	$	(2,611	)	$	232,497		$	—	$	229,886
Cash flows from investing activities:
Capital expenditures	—			(586,661		)	—		(586,661		)
Derivative settlements	—			213,336			—		213,336
Other investing activities	—			(1,175		)	—		(1,175		)
Net cash used in investing activities	—			(374,500		)	—		(374,500		)
Cash flows from financing activities:
Proceeds from sale of common stock	463,010			—			—		463,010
Proceeds from revolving credit facility	—			320,000			—		320,000
Principal payments on revolving credit facility	—			(665,000		)	—		(665,000		)
Other financing activities	(460,397		)	454,874			—		(5,523		)
Net cash provided by financing activities	2,613			109,874			—		112,487
Increase (decrease) in cash and cash equivalents	2			(32,129		)	—		(32,127		)
Cash and cash equivalents at beginning of period	776			45,035			—		45,811
Cash and cash equivalents at end of period	$	778		$	12,906		$	—	$	13,684

Condensed Consolidating Statement of Cash Flows



	Six Months Ended June 30, 2014
	Parent/ Issuer			Combined Guarantor Subsidiaries			Intercompany Eliminations		Consolidated
	(In thousands)
Net cash provided by (used in) operating activities	$	(67,434	)	$	553,688		$	—	$	486,254
Cash flows from investing activities:
Capital expenditures	—			(606,924		)	—		(606,924		)
Proceeds from sale of properties	—			324,888			—		324,888
Other investing activities	—			(30,016		)	—		(30,016		)
Net cash used in investing activities	—			(312,052		)	—		(312,052		)
Cash flows from financing activities:
Proceeds from revolving credit facility	—			100,000			—		100,000
Principal payments on revolving credit facility	—			(335,570		)	—		(335,570		)
Other financing activities	34,760			(38,336		)	—		(3,576		)
Net cash provided by (used in) financing activities	34,760			(273,906		)	—		(239,146		)
Decrease in cash and cash equivalents	(32,674		)	(32,270		)	—		(64,944		)
Cash and cash equivalents at beginning of period	34,277			57,624			—		91,901
Cash and cash equivalents at end of period	$	1,603		$	25,354		$	—	$	26,957