Supplementary Financial Information

Quarterly Data (Unaudited)

The following unaudited information shows selected items by quarter for the years 2013 and 2012:



	First Quarter			Second Quarter			Third Quarter			Fourth Quarter
	(In thousands, except per share amounts)
2013
Operating revenues	$	931,604		$	1,060,595		$	1,285,782		$	1,184,423
Operating expenses	827,073			969,217			1,135,909			1,037,306
Operating income	104,531			91,378			149,873			147,117
Income from continuing operations	56,592			46,392			84,550			91,348
Loss from discontinued operations, net of tax	(77		)	(59		)	(118		)	(58		)
Net income attributable to the Company	56,515			46,512			84,456			91,450
Earnings per common share - basic:
Earnings before discontinued operations	.30			.25			.45			.48
Discontinued operations, net of tax	—			—			—			—
Earnings per common share - basic	.30			.25			.45			.48
Earnings per common share - diluted:
Earnings before discontinued operations	.30			.24			.44			.48
Discontinued operations, net of tax	—			—			—			—
Earnings per common share - diluted	.30			.24			.44			.48
Weighted average common shares outstanding:
Basic	188,831			188,831			188,831			188,929
Diluted	189,222			189,463			189,638			189,766

2012
Operating revenues	$	852,807		$	967,962		$	1,173,518		$	1,081,144
Operating expenses	781,750			876,248			1,207,553			1,190,673
Operating income (loss)	71,057			91,714			(34,035		)	(109,529		)
Income (loss) from continuing operations	35,890			49,007			(29,532		)	(69,686		)
Income (loss) from discontinued operations, net of tax	(100		)	5,106			(139		)	8,700
Net income (loss) attributable to the Company	35,790			54,113			(29,671		)	(60,986		)
Earnings per common share - basic:
Earnings (loss) before discontinued operations	.19			.26			(.16		)	(.37		)
Discontinued operations, net of tax	—			.03			—			.05
Earnings (loss) per common share - basic	.19			.29			(.16		)	(.32		)
Earnings (loss) per common share - diluted:
Earnings (loss) before discontinued operations	.19			.26			(.16		)	(.37		)
Discontinued operations, net of tax	—			.03			—			.05
Earnings (loss) per common share - diluted	.19			.29			(.16		)	(.32		)
Weighted average common shares outstanding:
Basic	188,811			188,831			188,831			188,831
Diluted	189,182			189,107			188,831			188,831

Notes:


•	First quarter 2013 reflects an unrealized loss on commodity derivatives of $3.7 million (after tax). First quarter 2012 reflects an unrealized loss on commodity derivatives of $2.6 million (after tax).

•

Second quarter 2013 reflects an impairment of coalbed natural gas gathering assets of $9.0 million (after tax) and an unrealized gain on commodity derivatives of $8.2 million (after tax). Second quarter 2012 reflects a net benefit of $15.0 million (after tax) related to natural gas gathering operations litigation, a net benefit largely related to estimated insurance recoveries related to the guarantee of a construction contract (reflected in income (loss) from discontinued operations), an unrealized gain on commodity derivatives of $3.0 million (after tax) and an impairment of coalbed natural gas gathering assets of $1.7 million (after tax). For more information, see Notes 1 and 19.


•	Third quarter 2013 reflects an unrealized loss on commodity derivatives of $7.9 million (after tax). Third quarter 2012 reflects a $100.9 million (after tax) noncash write-down of oil and natural gas properties and an unrealized loss on commodity derivatives of $700,000 (after tax). For more information, see Note 1.

•

Fourth quarter 2013 reflects a net benefit of $1.5 million (after tax) related to natural gas gathering operations litigation and an unrealized loss on commodity derivatives of $500,000 (after tax). Fourth quarter 2012 reflects a $145.9 million (after tax) noncash write-down of oil and natural gas properties, the reversal of an arbitration charge of $13.0 million (after tax) related to a guarantee of a construction contract, which was partially offset by the reversal of estimated insurance recoveries (reflected in income (loss) from discontinued operations), as well as an unrealized loss on commodity derivatives of $200,000 (after tax). For more information, see Notes 1 and 19.

Certain Company operations are highly seasonal and revenues from and certain expenses for such operations may fluctuate significantly among quarterly periods. Accordingly, quarterly financial information may not be indicative of results for a full year.