Derivative instruments (Tables)

3 Months Ended

Mar. 31, 2013

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of derivative instruments, gain (losses)

The gains and losses on derivative instruments were as follows:



	Three Months Ended
	March 31,
	2013			2012
	(In thousands)
Commodity derivatives designated as cash flow hedges:
Amount of loss recognized in accumulated other comprehensive loss (effective portion), net of tax	$	(6,154	)	$	(4,659	)
Amount of gain reclassified from accumulated other comprehensive loss into operating revenues (effective portion), net of tax	2,843			2,343
Amount of loss recognized in operating revenues (ineffective portion), before tax	(1,422		)	(4,251		)

Interest rate derivatives designated as cash flow hedges:
Amount of gain recognized in accumulated other comprehensive loss (effective portion), net of tax	305			889
Amount of loss reclassified from accumulated other comprehensive loss into interest expense (effective portion), net of tax	(71		)	(14		)
Amount of loss recognized in interest expense (ineffective portion), before tax	(159		)	—

Commodity derivatives not designated as hedging instruments:
Amount of gain (loss) recognized in operating revenues, before tax	(4,410		)	55

Derivative instruments (Tables)

The location and fair value of the gross amount of the Company's derivative instruments on the Consolidated Balance Sheets were as follows:



Asset Derivatives	Location on Consolidated Balance Sheets	Fair Value at March 31, 2013		Fair Value at March 31, 2012		Fair Value at December 31, 2012
		(In thousands)
Designated as hedges:
Commodity derivatives	Commodity derivative instruments	$	1,623	$	25,560	$	18,084
	Other assets - noncurrent	—		537		—
		1,623		26,097		18,084
Not designated as hedges:
Commodity derivatives	Commodity derivative instruments	4,313		1,138		220
	Other assets - noncurrent	243		45		—
		4,556		1,183		220
Total asset derivatives		$	6,179	$	27,280	$	18,304



Liability Derivatives	Location on Consolidated Balance Sheets	Fair Value at March 31, 2013		Fair Value at March 31, 2012		Fair Value at December 31, 2012
		(In thousands)
Designated as hedges:
Commodity derivatives	Commodity derivative instruments	$	5,994	$	18,964	$	—
	Other liabilities - noncurrent	534		6,098		—
Interest rate derivatives	Other accrued liabilities	4,458		1,168		6,255
	Other liabilities - noncurrent	—		2,153		—
		10,986		28,383		6,255
Not designated as hedges:
Commodity derivatives	Commodity derivative instruments	1,385		1,219		—
	Other liabilities - noncurrent	74		49		—
		1,459		1,268		—
Total liability derivatives		$	12,445	$	29,651	$	6,255

All of the Company's commodity and interest rate derivative instruments at March 31, 2013 and 2012, and December 31, 2012, were subject to legally enforceable master netting agreements. However, the Company's policy is to not offset fair value amounts for derivative instruments and, as a result, the Company's derivative assets and liabilities are presented gross on the Consolidated Balance Sheets. The gross derivative assets and liabilities (excluding settlement receivables and payables that may be subject to the same master netting agreements) presented on the Consolidated Balance Sheets and the amount eligible for offset under the master netting agreements is presented in the following table:



March 31, 2013	Gross Amounts Recognized on the Consolidated Balance Sheets		Gross Amounts Not Offset on the Consolidated Balance Sheets			Net
	(In thousands)
Assets:
Commodity derivatives	$	6,179	$	(3,578	)	$	2,601
Total assets	$	6,179	$	(3,578	)	$	2,601
Liabilities:
Commodity derivatives	$	7,987	$	(3,578	)	$	4,409
Interest rate derivatives	4,458		—			4,458
Total liabilities	$	12,445	$	(3,578	)	$	8,867



March 31, 2012	Gross Amounts Recognized on the Consolidated Balance Sheets		Gross Amounts Not Offset on the Consolidated Balance Sheets			Net
	(In thousands)
Assets:
Commodity derivatives	$	27,280	$	(15,805	)	$	11,475
Total assets	$	27,280	$	(15,805	)	$	11,475
Liabilities:
Commodity derivatives	$	26,330	$	(15,805	)	$	10,525
Interest rate derivatives	3,321		—			3,321
Total liabilities	$	29,651	$	(15,805	)	$	13,846



December 31, 2012	Gross Amounts Recognized on the Consolidated Balance Sheets		Gross Amounts Not Offset on the Consolidated Balance Sheets		Net
	(In thousands)
Assets:
Commodity derivatives	$	18,304	$	—	$	18,304
Total assets	$	18,304	$	—	$	18,304
Liabilities:
Interest rate derivatives	$	6,255	$	—	$	6,255
Total liabilities	$	6,255	$	—	$	6,255

- Definition

Tabular disclosure of the location and amount of gains and losses reported in the statement of financial performance, or when applicable, the statement of financial position. For example, (a) gains and losses recognized in the income statement on derivative instruments designated and qualifying as hedging instruments in fair value hedges and related hedged items designated and qualifying in fair value hedges and (b) gains and losses initially recognized in other comprehensive income on derivative instruments designated and qualifying as cash flow hedges.

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- Definition

Tabular disclosure of the location and fair value amounts of derivative instruments (and nonderivative instruments that are designated and qualify as hedging instruments) reported in the statement of financial position.

+ References+ Details