Condensed Consolidating Financial Information (Tables)

9 Months Ended

Sep. 30, 2013

Condensed Consolidating Financial Statements Disclosure [Abstract]

Schedule of Condensed Cash Flow Revisions for Prior Periods

Net cash provided by (used in) operating activities increased (decreased) and net cash provided by (used in) financing activities decreased (increased) by the same amount as shown in the table below for the historical nine-month period ended September 30, 2012.



	Nine Months Ended September 30, 2012
	(in thousands)
Parent	$	669,502
Guarantors	$	(550,489	)
Non-Guarantors	$	(119,013	)

Unaudited Condensed Consolidating Balance Sheets of SandRidge Energy, Inc. and Wholly Owned Subsidiary Guarantors and Non-Guarantors

Condensed Consolidating Balance Sheets



	September 30, 2013
	Parent		Guarantors			Non-Guarantors		Eliminations			Consolidated
	(in thousands)
ASSETS
Current assets
Cash and cash equivalents	$	910,443	$	838		$	8,976	$	—		$	920,257
Accounts receivable, net	—		366,791			24,091		—			390,882
Intercompany accounts receivable	88,834		1,000,435			75,743		(1,165,012		)	—
Derivative contracts	—		4,530			10,770		(6,994		)	8,306
Prepaid expenses	—		37,776			81		—			37,857
Other current assets	1,375		27,462			17,123		—			45,960
Total current assets	1,000,652		1,437,832			136,784		(1,172,006		)	1,403,262
Property, plant and equipment, net	—		4,972,981			1,208,678		(55,585		)	6,126,074
Investment in subsidiaries	5,157,937		(88,307		)	—		(5,069,630		)	—
Derivative contracts	—		12,089			15,443		(12,054		)	15,478
Other assets	64,284		66,208			40		(5,902		)	124,630
Total assets	$	6,222,873	$	6,400,803		$	1,360,945	$	(6,315,177	)	$	7,669,444
LIABILITIES AND EQUITY
Current liabilities
Accounts payable and accrued expenses	$	170,920	$	597,412		$	5,783	$	—		$	774,115
Intercompany accounts payable	978,981		113,285			71,780		(1,164,046		)	—
Derivative contracts	—		43,465			—		(6,994		)	36,471
Asset retirement obligations	—		71,446			—		—			71,446
Total current liabilities	1,149,901		825,608			77,563		(1,171,040		)	882,032
Long-term debt	3,200,686		—			—		(5,902		)	3,194,784
Derivative contracts	—		36,596			—		(12,054		)	24,542
Asset retirement obligations	—		358,301			—		—			358,301
Other long-term obligations	1,876		22,361			—		—			24,237
Total liabilities	4,352,463		1,242,866			77,563		(1,188,996		)	4,483,896
Equity
SandRidge Energy, Inc. stockholders’ equity	1,870,410		5,157,937			1,283,382		(6,497,870		)	1,813,859
Noncontrolling interest	—		—			—		1,371,689			1,371,689
Total equity	1,870,410		5,157,937			1,283,382		(5,126,181		)	3,185,548
Total liabilities and equity	$	6,222,873	$	6,400,803		$	1,360,945	$	(6,315,177	)	$	7,669,444



	December 31, 2012
	Parent		Guarantors			Non-Guarantors		Eliminations			Consolidated
	(in thousands)
ASSETS
Current assets
Cash and cash equivalents	$	300,228	$	922		$	8,616	—			$	309,766
Accounts receivable, net	—		411,197			34,309		—			445,506
Intercompany accounts receivable	2,162,471		397,238			683,406		(3,243,115		)	—
Derivative contracts	—		60,736			28,484		(18,198		)	71,022
Prepaid expenses	—		31,135			184		—			31,319
Restricted deposit	—		255,000			—		—			255,000
Other current assets	1,375		24,188			4,709		—			30,272
Total current assets	2,464,074		1,180,416			759,708		(3,261,313		)	1,142,885
Property, plant and equipment, net	—		7,236,685			1,298,877		(55,585		)	8,479,977
Investment in subsidiaries	5,425,907		(86,235		)	—		(5,339,672		)	—
Derivative contracts	—		15,957			33,114		(25,454		)	23,617
Other assets	83,642		66,512			—		(5,902		)	144,252
Total assets	$	7,973,623	$	8,413,335		$	2,091,699	$	(8,687,926	)	$	9,790,731
LIABILITIES AND EQUITY
Current liabilities
Accounts payable and accrued expenses	$	261,215	$	492,866		$	12,463	$	—		$	766,544
Intercompany accounts payable	975,578		1,594,180			671,673		(3,241,431		)	—
Derivative contracts	2,394		30,664			—		(18,198		)	14,860
Asset retirement obligations	—		118,504			—		—			118,504
Deposit on pending sale	—		255,000			—		—			255,000
Other current liabilities	—		15,546			—		—			15,546
Total current liabilities	1,239,187		2,506,760			684,136		(3,259,629		)	1,170,454
Long-term debt	4,306,985		—			—		(5,902		)	4,301,083
Derivative contracts	—		85,241			—		(25,454		)	59,787
Asset retirement obligations	—		379,710			196		—			379,906
Other long-term obligations	1,329		15,717			—		—			17,046
Total liabilities	5,547,501		2,987,428			684,332		(3,290,985		)	5,928,276
Equity
SandRidge Energy, Inc. stockholders’ equity	2,426,122		5,425,907			1,407,367		(6,890,543		)	2,368,853
Noncontrolling interest	—		—			—		1,493,602			1,493,602
Total equity	2,426,122		5,425,907			1,407,367		(5,396,941		)	3,862,455
Total liabilities and equity	$	7,973,623	$	8,413,335		$	2,091,699	$	(8,687,926	)	$	9,790,731

Unaudited Condensed Consolidating Statements of Operations of SandRidge Energy, Inc. and Wholly Owned Subsidiary Guarantors and Non-Guarantors

Condensed Consolidating Statements of Operations



	Parent			Guarantors			Non-Guarantors		Eliminations			Consolidated
	(in thousands)
Three Months Ended September 30, 2013
Total revenues	$	—		$	411,847		$	81,830	$	(74	)	$	493,603
Expenses
Direct operating expenses	—			147,427			5,922		(680		)	152,669
General and administrative	83			38,894			993		—			39,970
Depreciation, depletion, amortization and accretion	—			140,350			21,031		—			161,381
Impairment	—			515			172		—			687
Loss on derivative contracts	—			103,215			29,593		—			132,808
Total expenses	83			430,401			57,711		(680		)	487,515
(Loss) income from operations	(83		)	(18,554		)	24,119		606			6,088
Equity earnings from subsidiaries	(2,483		)	7,803			—		(5,320		)	—
Interest (expense) income	(61,716		)	331			—		—			(61,385		)
Other income, net	—			7,937			10		(7,289		)	658
(Loss) income before income taxes	(64,282		)	(2,483		)	24,129		(12,003		)	(54,639		)
Income tax expense	2,228			—			135		—			2,363
Net (loss) income	(66,510		)	(2,483		)	23,994		(12,003		)	(57,002		)
Less: net income attributable to noncontrolling interest	—			—			—		16,191			16,191
Net (loss) income attributable to SandRidge Energy, Inc.	$	(66,510	)	$	(2,483	)	$	23,994	$	(28,194	)	$	(73,193	)



	Parent			Guarantors			Non-Guarantors		Eliminations			Consolidated
	(in thousands)
Three Months Ended September 30, 2012
Total revenues	$	—		$	447,391		$	112,501	$	(27,094	)	$	532,798
Expenses
Direct operating expenses	—			167,014			36,369		(26,668		)	176,715
General and administrative	244			45,600			1,354		(417		)	46,781
Depreciation, depletion, amortization and accretion	—			165,269			26,407		—			191,676
Loss on derivative contracts	—			159,757			33,740		—			193,497
Total expenses	244			537,640			97,870		(27,085		)	608,669
(Loss) income from operations	(244		)	(90,249		)	14,631		(9		)	(75,871		)
Equity earnings from subsidiaries	(84,956		)	3,836			—		81,120			—
Interest (expense) income	(82,110		)	215			1		—			(81,894		)
Loss on extinguishment of debt	(3,056		)	—			—		—			(3,056		)
Other income, net	—			1,242			—		—			1,242
(Loss) income before income taxes	(170,366		)	(84,956		)	14,632		81,111			(159,579		)
Income tax expense	42			—			131		—			173
Net (loss) income	(170,408		)	(84,956		)	14,501		81,111			(159,752		)
Less: net income attributable to noncontrolling interest	—			—			—		10,668			10,668
Net (loss) income attributable to SandRidge Energy, Inc.	$	(170,408	)	$	(84,956	)	$	14,501	$	70,443		$	(170,420	)



	Parent			Guarantors			Non-Guarantors			Eliminations			Consolidated
	(in thousands)
Nine Months Ended September 30, 2013
Total revenues	$	—		$	1,277,289		$	241,314		$	(323	)	$	1,518,280
Expenses
Direct operating expenses	—			475,463			24,671			(1,041		)	499,093
General and administrative	258			287,365			5,052			—			292,675
Depreciation, depletion, amortization and accretion	—			441,538			67,209			—			508,747
Impairment	—			13,218			3,112			—			16,330
Loss on derivative contracts	—			45,462			24,589			—			70,051
Loss on sale of assets	—			291,516			106,848			—			398,364
Total expenses	258			1,554,562			231,481			(1,041		)	1,785,260
(Loss) income from operations	(258		)	(277,273		)	9,833			718			(266,980		)
Equity earnings from subsidiaries	(267,969		)	(606		)	—			268,575			—
Interest (expense) income	(209,211		)	757			—			—			(208,454		)
Loss on extinguishment of debt	(82,005		)	—			—			—			(82,005		)
Other income (expense), net	—			9,153			(701		)	(7,289		)	1,163
(Loss) income before income taxes	(559,443		)	(267,969		)	9,132			262,004			(556,276		)
Income tax expense	6,955			—			345			—			7,300
Net (loss) income	(566,398		)	(267,969		)	8,787			262,004			(563,576		)
Less: net income attributable to noncontrolling interest	—			—			—			9,393			9,393
Net (loss) income attributable to SandRidge Energy, Inc.	$	(566,398	)	$	(267,969	)	$	8,787		$	252,611		$	(572,969	)



	Parent			Guarantors			Non-Guarantors			Eliminations			Consolidated
	(in thousands)
Nine Months Ended September 30, 2012
Total revenues	$	—		$	1,172,206		$	313,872		$	(93,211	)	$	1,392,867
Expenses
Direct operating expenses	—			431,455			118,861			(91,615		)	458,701
General and administrative	429			153,665			5,801			(1,097		)	158,798
Depreciation, depletion, amortization and accretion	—			396,524			61,910			—			458,434
Gain on derivative contracts	—			(181,389		)	(40,318		)	—			(221,707		)
(Gain) loss on sale of assets	—			(834		)	4,589			—			3,755
Total expenses	429			799,421			150,843			(92,712		)	857,981
(Loss) income from operations	(429		)	372,785			163,029			(499		)	534,886
Equity earnings from subsidiaries	621,224			50,476			—			(671,700		)	—
Interest (expense) income	(217,343		)	480			(565		)	—			(217,428		)
Gain on sale of investment in subsidiary	55,585			—			—			(55,585		)	—
Bargain purchase gain	—			122,696			—			—			122,696
Loss on extinguishment of debt	(3,056		)	—			—			—			(3,056		)
Other income, net	—			74,787			—			(71,158		)	3,629
Income before income taxes	455,981			621,224			162,464			(798,942		)	440,727
Income tax (benefit) expense	(100,738		)	—			365			—			(100,373		)
Net income	556,719			621,224			162,099			(798,942		)	541,100
Less: net income attributable to noncontrolling interest	—			—			—			111,626			111,626
Net income attributable to SandRidge Energy, Inc.	$	556,719		$	621,224		$	162,099		$	(910,568	)	$	429,474

Unaudited Condensed Consolidating Statements of Cash Flows of SandRidge Energy, Inc. and Wholly Owned Subsidiary Guarantors and Non-Guarantors

Condensed Consolidating Statements of Cash Flows



	Parent			Guarantors			Non-Guarantors			Eliminations			Consolidated
	(in thousands)
Nine Months Ended September 30, 2013
Net cash (used in) provided by operating activities	$	(157,030	)	$	539,973		$	211,364		$	700		$	595,007
Cash flows from investing activities
Capital expenditures for property, plant, and equipment	—			(1,163,539		)	—			—			(1,163,539		)
Proceeds from sale of assets	—			2,566,900			455			—			2,567,355
Other	—			18,756			37			(34,320		)	(15,527		)
Net cash provided by investing activities	—			1,422,117			492			(34,320		)	1,388,289
Cash flows from financing activities
Repayments of borrowings	(1,115,500		)	—			—			—			(1,115,500		)
Distributions to unitholders	—			—			(226,404		)	73,402			(153,002		)
Premium on debt redemption	(61,997		)	—			—			—			(61,997		)
Intercompany borrowings (advances), net	2,021,132			(2,025,243		)	4,111			—			—
Other	(76,390		)	63,069			10,797			(39,782		)	(42,306		)
Net cash provided by (used in) financing activities	767,245			(1,962,174		)	(211,496		)	33,620			(1,372,805		)
Net increase (decrease) in cash and cash equivalents	610,215			(84		)	360			—			610,491
Cash and cash equivalents at beginning of year	300,228			922			8,616			—			309,766
Cash and cash equivalents at end of period	$	910,443		$	838		$	8,976		$	—		$	920,257



	Parent			Guarantors			Non-Guarantors			Eliminations			Consolidated
	(in thousands)
Nine Months Ended September 30, 2012 (Revised)
Net cash (used in) provided by operating activities	$	(173,036	)	$	519,827		$	173,523		$	63,916		$	584,230
Cash flows from investing activities
Capital expenditures for property, plant, and equipment	—			(1,592,297		)	(33,440		)	—			(1,625,737		)
Acquisition of assets	(693,090		)	(143,929		)	—			—			(837,019		)
Proceeds from sale of assets	129,830			346,591			1,335			(55,585		)	422,171
Conveyance of property for royalty trust	—			575,485			(587,086		)	11,601			—
Other	(61,371		)	251,159			—			(189,788		)	—
Net cash used in investing activities	(624,631		)	(562,991		)	(619,191		)	(233,772		)	(2,040,585		)
Cash flows from financing activities
Proceeds from borrowings	1,850,344			—			—			—			1,850,344
Repayments of borrowings	(350,000		)	—			(16,029		)	—			(366,029		)
Debt issuance costs	(48,220		)	—			—			—			(48,220		)
Proceeds from issuance of royalty trust units	—			—			587,086			—			587,086
Proceeds from sale of royalty trust units	—			—			—			123,548			123,548
Distributions to unitholders	—			—			(193,263		)	66,240			(127,023		)
Intercompany (advances) borrowings, net	(136,464		)	82,255			54,209			—			—
Dividends paid - preferred	(45,025		)	—			—			—			(45,025		)
Other	(13,624		)	(38,704		)	19,933			(19,932		)	(52,327		)
Net cash provided by financing activities	1,257,011			43,551			451,936			169,856			1,922,354
Net increase in cash and cash equivalents	459,344			387			6,268			—			465,999
Cash and cash equivalents at beginning of year	204,015			437			3,229			—			207,681
Cash and cash equivalents at end of period	$	663,359		$	824		$	9,497		$	—		$	673,680