EQT (EQT) 10-Q 29 Jul 09 2009 Q2 Quarterly report Financial data

Statements of Consolidated Inco

Statements of Consolidated Income (USD $)
In Thousands, except Per Share data	3 Months Ended Jun. 30, 2009	3 Months Ended Jun. 30, 2008	6 Months Ended Jun. 30, 2009	6 Months Ended Jun. 30, 2008
Operating revenues	$238,040	$334,009	$707,443	$869,783
Operating expenses:
Purchased gas costs	34,591	118,352	243,598	389,530
Operation and maintenance	34,892	28,612	66,482	54,204
Production	14,860	20,369	29,880	36,889
Exploration	4,414	838	7,725	1,393
Selling, general and administrative	35,581	32,654	65,331	104,395
Depreciation, depletion and amortization	46,188	32,051	90,777	62,816
Total operating expenses	170,526	232,876	503,793	649,227
Operating income	67,514	101,133	203,650	220,556
Other income	698	1,574	1,288	5,098
Equity in earnings of nonconsolidated investments	1,610	1,697	2,732	2,991
Interest expense	26,460	14,327	45,703	27,980
Income before income taxes	43,362	90,077	161,967	200,665
Income taxes	16,717	34,686	63,329	74,754
Net income	$26,645	$55,391	$98,638	$125,911
Basic:
Weighted average common shares outstanding (in shares)	130,830	126,243	130,784	124,372
Net income (in dollars per share)	0.2	0.44	0.75	1.01
Diluted:
Weighted average common shares outstanding (in shares)	131,443	127,321	131,421	125,432
Net income (in dollars per share)	0.2	0.44	0.75	$1
Dividends declared per common share (in dollars per share)	0.22	0.22	0.44	0.44

Statements of Condensed Consoli

Statements of Condensed Consolidated Cash Flows (USD $)
In Thousands	6 Months Ended Jun. 30, 2009	6 Months Ended Jun. 30, 2008
Cash flows from operating activities:
Net income	$98,638	$125,911
Adjustments to reconcile net income to cash provided by operating activities:
Provision for losses on accounts receivable	(1,007)	3,922
Depreciation, depletion and amortization	90,777	62,816
Other income	(1,288)	(5,098)
Equity in earnings of nonconsolidated investments	(2,732)	(2,991)
Deferred income taxes	82,878	125,215
Excess tax benefits from share-based payment arrangements	(329)	(1,124)
Decrease in inventory	98,711	27,855
Decrease in accounts receivable and unbilled revenues	148,871	6,703
Decrease (increase) in margin deposits	1,119	(233,693)
(Decrease) increase in accounts payable	(181,694)	47,030
Change in derivative instruments at fair value, net	49,703	26,370
Changes in other assets and liabilities	84,469	(94,172)
Net cash provided by operating activities	468,116	88,744
Cash flows from investing activities:
Capital expenditures	(439,348)	(511,135)
Capital contributions to Nora Gathering, LLC	(6,511)	(10,800)
Investment in available-for-sale securities	(3,000)	(3,000)
Net cash used in investing activities	(448,859)	(524,935)
Cash flows from financing activities:
Dividends paid	(57,675)	(53,789)
Proceeds from issuance of common stock		560,821
Proceeds from issuance of long-term debt	700,000	500,000
Debt issuance costs	(6,874)	(6,645)
Decrease in short-term loans	(319,917)	(450,000)
Decrease in note payable to Nora Gathering, LLC		(29,329)
Proceeds from exercises under employee compensation plans	225	842
Excess tax benefits from share-based payment arrangements	329	1,124
Net cash provided by financing activities	316,088	523,024
Net increase in cash and cash equivalents	335,345	86,833
Cash and cash equivalents at beginning of period		81,711
Cash and cash equivalents at end of period	335,345	168,544
Cash paid (received) during the period for:
Interest, net of amount capitalized	38,714	19,767
Income taxes, net of refund	($103,317)	$6,855

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (USD $)
In Thousands	Jun. 30, 2009	Dec. 31, 2008
Current assets:
Cash and cash equivalents	$335,345
Accounts receivable (less accumulated provision for doubtful accounts: June 30, 2009, $19,945; December 31, 2008, $26,636)	103,574	209,008
Unbilled revenues	7,500	49,930
Margin deposits with financial institutions	3,315	4,434
Inventory	157,427	288,182
Derivative instruments, at fair value	191,970	192,191
Prepaid expenses and other	75,374	183,437
Total current assets	874,505	927,182
Equity in nonconsolidated investments	178,183	169,241
Property, plant and equipment	5,974,278	5,503,921
Less: accumulated depreciation and depletion	1,492,061	1,406,402
Net property, plant and equipment	4,482,217	4,097,519
Investments, available-for-sale	30,514	25,880
Regulatory assets	80,490	83,525
Other assets	30,204	26,315
Total assets	5,676,113	5,329,662
Current liabilities:
Current portion of long-term debt	4,300	4,300
Short-term loans		319,917
Accounts payable	175,038	356,732
Derivative instruments, at fair value	127,037	175,889
Other current liabilities	141,075	185,770
Total current liabilities	447,450	1,042,608
Long-term debt	1,949,200	1,249,200
Deferred income taxes and investment tax credits	901,229	781,520
Unrecognized tax benefits	64,390	47,553
Pension and other post-retirement benefits	58,195	69,409
Other credits	99,874	89,279
Total liabilities	3,520,338	3,279,569
Common stockholders' equity:
Common stock, no par value, authorized 320,000 shares; shares issued: June 30, 2009 and December 31, 2008, 157,630	949,792	948,497
Treasury stock, shares at cost: June 30, 2009, 26,727; December 31, 2008, 26,764 (net of shares and cost held in trust for deferred compensation of 168, $2,876 and 163, $2,784)	(482,780)	(483,464)
Retained earnings	1,694,760	1,653,797
Accumulated other comprehensive loss	(5,997)	(68,737)
Total common stockholders' equity	2,155,775	2,050,093
Total liabilities and stockholders' equity	$5,676,113	$5,329,662

1_Condensed Consolidated Balanc

Condensed Consolidated Balance Sheets (parenthetical) (USD $)
In Thousands	Jun. 30, 2009	Dec. 31, 2008
Condensed Consolidated Balance Sheets
Accumulated provision for doubtful accounts, accounts receivable (in dollars)	$19,945	$26,636
Common stock, authorized shares (in shares)	320,000	320,000
Common stock, shares issued (in shares)	157,630	157,630
Treasury stock (in shares)	26,727	26,764
Treasury stock, held in trust for deferred compensation (in shares)	168	163
Treasury stock, held in trust for deferred compensation, cost (in dollars)	$2,876	$2,784

Financial Statements

Financial Statements
	6 Months Ended Jun. 30, 2009 USD / shares
Notes to Condensed Consolidated Financial Statements
Financial Statements	A. Financial Statements The accompanying unaudited Condensed Consolidated Financial Statements have been prepared in accordance with United States generally accepted accounting principles for interim financial information and with the requirements of Form10-Q and Article10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by United States generally accepted accounting principles for complete financial statements. In this Form10-Q, references to we, us, our, EQT, EQT Corporation, and the Company refer collectively to EQT Corporation and its consolidated subsidiaries. In the opinion of management, these statements include all adjustments (consisting of only normal recurring accruals, unless otherwise disclosed in this Form10-Q) necessary for a fair presentation of the financial position of EQT Corporation and subsidiaries as of June30, 2009, and the results of its operations and cash flows for the three and six month periods ended June30, 2009 and 2008. Certain previously reported amounts have been reclassified to conform to the current year presentation. The balance sheet at December31, 2008 has been derived from the audited financial statements at that date but does not include all of the information and footnotes required by United States generally accepted accounting principles for complete financial statements. Due to the seasonal nature of the Companys natural gas distribution and storage businesses and the volatility of commodity prices, the interim statements for the three and six month periods ended June30, 2009 are not necessarily indicative of the results that may be expected for the year ending December31, 2009. For further information, refer to the consolidated financial statements and footnotes thereto included in EQT Corporations Annual Report on Form10-K for the year ended December31, 2008, as well as Managements Discussion and Analysis of Financial Condition and Results of Operations on page20 of this document.

Segment Information

Segment Information
	6 Months Ended Jun. 30, 2009 USD / shares
Notes to Condensed Consolidated Financial Statements
Segment Information	B. Segment Information Operating segments are revenue-producing components of the enterprise for which separate financial information is produced internally and are subject to evaluation by the Companys chief operating decision maker in deciding how to allocate resources. The Company reports its operations in three segments, which reflect its lines of business. The EQT Production segment includes the Companys exploration for, and development and production of, natural gas, and a limited amount of crude oil, in the Appalachian Basin. EQT Midstreams operations include the natural gas gathering, processing, transportation and storage activities of the Company as well as sales of natural gas liquids (NGLs). Distributions operations are primarily comprised of the state-regulated natural gas distribution activities of the Company. Operating segments are evaluated on their contribution to the Companys consolidated results based on operating income, equity in earnings of nonconsolidated investments and other income. Interest expense and income taxes are managed on a consolidated basis. Headquarters costs are billed to the operating segments based upon a fixed allocation of the headquarters annual operating budget. Actual headquarters expenses in excess of budget, which are primarily related to incentive compensation and administrative costs, are not allocated to the operating segments. Substantially all of the Companys operating revenues, income from operations and assets are generated or located in the United States. Three Months Ended June30, Six Months Ended June30, 2009 2008 2009 2008 Revenues from external customers: EQT Production $ 89,885 $ 124,949 $ 187,648 $ 230,026 EQT Midstream 119,500 153,777 242,874 375,102 Distribution 78,094 114,731 371,266 370,693 Less: intersegment revenues (a) (49,439 ) (59,448 ) (94,345 ) (106,038 ) Total $ 238,040 $ 334,009 $ 707,443 $ 869,783 Operating income: EQT Production $ 33,648 $ 74,177 $ 78,065 $ 134,509 EQT Midstream 32,802 23,628 81,782 84,482 Distribution 9,353 2,029 53,205 39,979 Unallocated (expenses) income (b) (8,289 ) 1,299 (9,402 ) (38,414 ) Total $ 67,514 $ 101,133 $ 203,650 $ 220,556 Reconciliation of operating income to net income: Other income: EQT Midstream $ 355 $ 1,464 $ 905 $ 4,847 Distribution 343 110 383 251 Total $ 698 $ 1,574 $ 1,288 $ 5,098 Equity in earnings of nonconsolidated investments: EQT Production $ 11 $ 151 $ 47 $ 244 EQT Midstream 1,595 1,471 2,662 2,626 Unallocated 4 75 23 121 Total $ 1,610 $ 1,697 $ 2,732 $ 2,991 Interest expense 26,460 14,327 45,703 27,980 Income taxes 16,717 34,686 63,329 74,754 Net income $ 26,645 $ 55,391

Derivative Instruments

Derivative Instruments
	6 Months Ended Jun. 30, 2009 USD / shares
Notes to Condensed Consolidated Financial Statements
Derivative Instruments	C. Derivative Instruments Natural Gas Hedging Instruments The Companys primary market risk exposure is the volatility of future prices for natural gas and natural gas liquids, which can affect the operating results of the Company primarily through the EQT Production and EQT Midstream segments. The Companys overall objective in its commodity hedging program is to ensure an adequate level of return for the well development and infrastructure investments at these segments. The Company uses non-leveraged derivative commodity instruments that are placed with major financial institutions whose creditworthiness is continually monitored to reduce the effect of this volatility. Futures contracts obligate the Company to buy or sell a designated commodity at a future date for a specified price and quantity at a specified location. Swap agreements involve payments to or receipts from counterparties based on the differential between a fixed and variable price for the commodity. Collar agreements require the counterparty to pay the Company if the index price falls below the floor price and the Company to pay the counterparty if the index price rises above the cap price. Put option contracts provide protection from dropping prices and require the counterparty to pay the Company if the index price falls below the contract price. The Company also engages in a limited number of basis swaps to protect earnings from undue exposure to the risk of geographic disparities in commodity prices and interest rate swaps to hedge exposure to interest rate fluctuations on short or long-term debt. The Company recognizes all derivative instruments as either assets or liabilities at fair value. The accounting for the changes in fair value of the Companys derivative instruments depends on the use of the derivative instruments. At contract inception, the Company designates its derivative instruments as hedging or trading activities. To the extent that a derivative instrument has been designated and qualifies as a cash flow hedge, the effective portion of the change in fair value of the derivative instrument is reported as a component of accumulated other comprehensive (loss), net of tax, and is subsequently reclassified into earnings, in the same line item associated with the forecasted transaction, in the same period or periods during which the hedged forecasted transaction affects earnings. For derivative instruments that have not been designated as cash flow hedges, the change in fair value for the instrument is recognized in the Statements of Consolidated Income as operating revenues each period. Exchange-traded instruments are generally settled with offsetting positions. Over the counter (OTC) arrangements require settlement in cash. Settlements of derivative commodity instruments are reported as a component of cash flows from operations in the accompanying statements of Condensed Consolidated Cash Flows. The various derivative commodity instruments used by the Company to hedge its exposure to variability in expected future cash flows associated with the fluctuations in the price of natural gas related to the Companys forecasted sale of equity production

Investments, Available-For-Sale

Investments, Available-For-Sale
	6 Months Ended Jun. 30, 2009 USD / shares
Notes to Condensed Consolidated Financial Statements
Investments, Available-For-Sale	D. Investments, Available-For-Sale As of June30, 2009, the investments classified by the Company as available-for-sale consist of $30.5 million of equity and bond funds intended to fund plugging and abandonment and other liabilities for which the Company self-insures. Unrealized gains or losses with respect to temporarily impaired investments classified as available-for-sale are recognized within the Condensed Consolidated Balance Sheets as a component of equity, accumulated other comprehensive (loss). The Company evaluates these investments quarterly and if the Company subsequently determines that a loss is other-than-temporary, any unrealized losses stemming from such impaired investments will be recognized in earnings. June30, 2009 Adjusted Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (Thousands) Equity funds $ 21,833 $ 1,050 $ $ 22,883 Bond funds 7,371 260 7,631 Total investments $ 29,204 $ 1,310 $ $ 30,514 December31, 2008 Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (Thousands) Equity funds $ 20,219 $ $ $ 20,219 Bond funds 5,661 5,661 Total investments $ 25,880 $ $ $ 25,880 During the six month periods ended June30, 2009 and 2008, the Company purchased additional securities with a cost basis totaling $3.0 million and $3.0 million.

Fair Value Measurements

Fair Value Measurements
	6 Months Ended Jun. 30, 2009 USD / shares
Notes to Condensed Consolidated Financial Statements
Fair Value Measurements	E. Fair Value Measurements The Company has an established process for determining fair value for its financial instruments, principally derivative commodity instruments and available-for-sale investments. Fair value is based on quoted market prices, where available. If quoted market prices are not available, fair value is based upon models that use as inputs market-based parameters, including but not limited to forward curves, discount rates, broker quotes, volatilities, and nonperformance risk. Nonperformance risk considers the effect of the Companys credit standing on the fair value of liabilities and the effect of the counterpartys credit standing on the fair value of assets. The Company estimates nonperformance risk by analyzing publicly available market information, including a comparison of the yield on debt instruments with credit ratings similar to the Companys or counterpartys credit rating and the yield of a risk free instrument. The Company also considers credit default swaps rates where applicable. The Company has categorized its financial instruments into a three-level fair value hierarchy, based on the priority of the inputs to the valuation technique. The fair value hierarchy gives the highest priority to quoted prices in active markets for identical assets and liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). Financial instruments included in Level 1 include the Companys futures contracts and available-for-sale investments, while instruments included in Level 2 include the majority of the Companys swap agreements, and instruments included in Level 3 include the Companys collar and option agreements and a portion of the Companys swap agreements. Since the adoption of fair value accounting, the Company has not made any changes to its classification of financial instruments in any category. The fair value of financial instruments included in Level 2 is based on industry models that use significant observable inputs, including NYMEX forward curves and LIBOR-based discount rates. Swaps included in Level 3 are valued using internal models; these internal models are validated each period with non-binding broker price quotes. The Company has not experienced significant differences between internally calculated values and broker price quotes. Collars and options included in Level 3 are valued using internal models calculated with market derived volatilities. The Company uses NYMEX forward curves to value futures, NYMEX swaps, collars and options. The NYMEX forward curves are validated to external sources at least monthly. The following assets and liabilities were measured at fair value on a recurring basis during the period: Fair value measurements at reporting date using Description June30, 2009 Quoted prices in active markets for identical assets (Level 1) Significant other observable inputs (Level 2) Significant unobservable inputs (Level 3) (Thousands) Assets Investments, available-for-sale $ 30,514 $ 30,514 $ $ Derivative instruments, at fair value 191,970 14,980 76,534 100,456 Total assets $ 222,484 $

Comprehensive Income

Comprehensive Income (Loss)
	6 Months Ended Jun. 30, 2009 USD / shares
Notes to Condensed Consolidated Financial Statements
Comprehensive Income (Loss)	F. Comprehensive Income (Loss) Total comprehensive income (loss), net of tax, was as follows: Three Months Ended June30, Six Months Ended June30, 2009 2008 2009 2008 (Thousands) Net income $ 26,645 $ 55,391 $ 98,638 $ 125,911 Other comprehensive (loss) income: Net change in cash flow hedges (24,724 ) (267,899 ) 61,113 (385,532 ) Unrealized (loss) gain on investments, available-for-sale 2,454 (684 ) 851 (2,594 ) Pension and other post-retirement benefit plans: Prior service cost (86 ) (71 ) (172 ) (142 ) Net loss 371 394 742 789 Settlement loss 103 77 206 152 Total comprehensive income (loss) $ 4,763 $ (212,792 ) $ 161,378 $ (261,416 ) The components of accumulated other comprehensive loss, net of tax, are as follows: June30, December31, 2009 2008 (Thousands) Net unrealized gain (loss) from hedging transactions $ 31,894 $ (29,219 ) Unrealized gain on available-for-sale securities 851 Pension and other post-retirement benefits adjustment (38,742 ) (39,518 ) Accumulated other comprehensive loss $ (5,997 ) $ (68,737 )

Share-Based Compensation

Share-Based Compensation
	6 Months Ended Jun. 30, 2009 USD / shares
Notes to Condensed Consolidated Financial Statements
Share-Based Compensation	G. Share-Based Compensation Share-based compensation expense recorded by the Company was as follows: Three Months Ended June30, Six Months Ended June30, 2009 2008 2009 2008 2005 Executive Performance Incentive Program $ $ $ $ 42,548 2008 Executive Performance Incentive Program 211 348 2009 Shareholder Value Plan 5,134 6,315 2007 Supply Long-Term Incentive Program 1,349 422 2,799 910 Restricted stock awards 835 876 1,986 1,859 Nonqualified stock options 783 1,567 Non-employee directors share-based awards (112 ) 1,731 (304 ) 2,280 Total share-based compensation expense $ 8,200 $ 3,029 $ 12,711 $ 47,597 Executive Performance Incentive Programs The vesting of the stock units granted under the 2005 Executive Performance Incentive Program (2005 Program) occurred on December31, 2008, after the ordinary close of the performance period, and payment was made on that day. The Company accounted for these awards as liability awards and as such recorded compensation expense for the remeasurement of the fair value of the awards at the end of each reporting period. During the first half of 2008, the Company increased its assumptions for the total payout and recognized $42.5 million of expense related to the 2005 Program. The vesting of the units granted under the 2008 Executive Performance Incentive Program (2008 Program) will occur upon payment after the end of the performance period, December31, 2011, at a payout multiple between zero and 300%, which is dependent upon the level of total shareholder return relative to a predefined peer groups total shareholder return during the 3.5 year performance period and production sales revenues (at a fixed price) for approximately the same period. Payment of awards is expected to be in cash based on the price of the Companys common stock at the end of the performance period. The Company accounts for these awards as liability awards and as such records compensation expense for the remeasurement of the fair value of the awards at the end of each reporting period. The Company continually monitors its stock price and performance in order to assess the impact on the ultimate payout under the 2008 Program. The Companys current assumptions for the ultimate share price and payout multiple are $50 and 100% of the units awarded, respectively. As of June30, 2009, approximately 59,000 units were outstanding under the 2008 Program. The 2008 Program expense is classified as selling, general and administrative expense in the Statements of Consolidated Income. 2009 Shareholder Value Plan The vesting of the units granted under the 2009 Shareholder Value Plan (2009 SVP) will occur upon payment after the end of the performance period utilizing a payout factor of between zero and 250%, dependent upon a combination of the level of total shareholder return relative to a predefined peer group and the Companys average absolute return on total capital during the performance period of January1, 2005 to December31, 2009. To determine the actual payment per

Income Taxes

Income Taxes
	6 Months Ended Jun. 30, 2009 USD / shares
Notes to Condensed Consolidated Financial Statements
Income Taxes	H. Income Taxes The Company estimates an annual effective income tax rate based on projected results for the year and applies this rate to income before taxes to calculate income tax expense. Any refinements made due to subsequent information that affects the estimated annual effective income tax rate are reflected as adjustments in the current period. Separate effective income tax rates are calculated for net income from continuing operations and any other separately reported net income items, such as discontinued operations. The Companys effective income tax rate for the six months ending June30, 2009 was 39.1%. The Company currently estimates the annual effective income tax rate to be approximately 39.1%. The estimated annual effective income tax rate as of June30, 2008 was 38.1%. The increase in the expected annual effective tax rate is primarily the result of a West Virginia law change in 2008 that created a discrete benefit. The Company has a method change request pending with the Internal Revenue Service which, if approved, will reduce the estimated effective income tax rate for 2009. On March31, 2008, West Virginia enacted legislation, effective for the Companys tax year beginning January1, 2009, that contemplates a reduction of West Virginias corporate net income tax rate over the next six years. As a result of this law change, the Company recorded a tax benefit of $4.6 million to reflect an overall decrease in the Companys expected deferred tax liability as of the effective date of each respective income tax rate reduction. This benefit was included in the first quarter 2008 income tax expense. There were no material changes to the Companys methodology for unrecognized tax benefits during the six months ended June30, 2009. Increases to the Companys FIN 48 reserve during the six months ended June30, 2009 were primarily attributable to certain pending changes in the Companys accounting for repairs expenditures for tax purposes. The consolidated federal income tax liability of the Company has been settled with the Internal Revenue Service (IRS) through 2000. In December2008, the Joint Committee on Taxation (JCT) approved the settlement of all issues related to the 1998 through 2000 audit. The Company received a final net tax refund of $3.8 million, including interest, for these years. As of June30, 2009, the IRS has completed its audit and review of the Companys federal income tax filings for the 2001 through 2005 years and the Company has received approximately $3.0 million of the total expected $3.4 million refund relating to the agreed upon audit adjustments for these years. Since the expected refund is greater than $2.0 million, these years will be reviewed by the JCT. The only unresolved issue relates to the research and experimentation tax credits claimed for years 2001 through 2005, which will be referred to the Appeals Division of the IRS after JCT review is completed. The Company also is the subject of various state income tax examinations. The Company believes that it is appropriately reserved for any uncertain tax positions claimed during these periods. During the second quarter of 2009 EQT received a ref

Pension and Other Postretiremen

Pension and Other Postretirement Benefit Plans
	6 Months Ended Jun. 30, 2009 USD / shares
Notes to Condensed Consolidated Financial Statements
Pension and Other Postretirement Benefit Plans	I. Pension and Other Postretirement Benefit Plans The Companys costs related to its defined benefit pension and other postretirement benefit plans for the three and six months ended June30, 2009 and 2008 were as follows: Pension Benefits Other Benefits Three Months Ended June30, 2009 2008 2009 2008 (Thousands) Components of net periodic benefit cost Service cost $ 109 $ 44 $ 144 $ 110 Interest cost 906 1,080 537 610 Expected return on plan assets (1,145 ) (1,333 ) Amortization of prior service cost 4 29 (226 ) (226 ) Recognized net actuarial loss 298 312 437 511 Settlement loss 173 126 Net periodic benefit cost $ 345 $ 258 $ 892 $ 1,005 Pension Benefits Other Benefits Six Months Ended June30, 2009 2008 2009 2008 (Thousands) Components of net periodic benefit cost Service cost $ 218 $ 88 $ 288 $ 220 Interest cost 1,812 2,160 1,074 1,220 Expected return on plan assets (2,290 ) (2,666 ) Amortization of prior service cost 8 58 (452 ) (452 ) Recognized net actuarial loss 596 624 874 1,022 Settlement loss 346 252 Net periodic benefit cost $ 690 $ 516 $ 1,784 $ 2,010

Fair Value of Financial Instrum

Fair Value of Financial Instruments
	6 Months Ended Jun. 30, 2009 USD / shares
Notes to Condensed Consolidated Financial Statements
Fair Value of Financial Instruments	J. Fair Value of Financial Instruments The carrying value of cash equivalents and short-term loans approximates fair value due to the short maturity of the instruments. Available-for-sale securities and derivative instruments are reported in the Condensed Consolidated Balance Sheets at fair value. See Notes C, D and E. The estimated fair value of long-term debt on the Condensed Consolidated Balance Sheets at June30, 2009 and December31, 2008 was approximately $2.0 billion and $1.2 billion, respectively. The fair value was estimated using the Companys established fair value methodology based on discounted values using a current discount rate reflective of the remaining maturity.

Recently Issued Accounting Stan

Recently Issued Accounting Standards
	6 Months Ended Jun. 30, 2009 USD / shares
Notes to Condensed Consolidated Financial Statements
Recently Issued Accounting Standards	K. Recently Issued Accounting Standards Employers Disclosures about Post-Retirement Benefit Plan Assets In December2008, the FASB issued Employers Disclosures about Post-Retirement Benefit Plan Assets. The disclosures required by this guidance are intended to enhance the transparency surrounding the types of assets and associated risks in an employers defined benefit pension or other post-retirement plan. The new disclosures are required to be included in the financial statements for fiscal years ending after December15, 2009. The Company is currently evaluating the impact that this guidance will have on its consolidated financial statement disclosures. Amendments to FASB Interpretation No.46(R) In June2009, the FASB issued Amendments to FASB Interpretation No.46(R). These amendments were issued to improve financial reporting by enterprises involved with variable interest entities and are effective as of the beginning the first annual reporting period beginning after November15, 2009. The Company is currently evaluating the impact that these amendments will have on its consolidated financial statements. Accounting for Transfers of Financial Assets an amendment of FASB Statement No.140 In June2009, the FASB issued Accounting for Transfers of Financial Assets an amendment of FASB Statement No.140. The purpose of this amendment is to improve the relevance, representational faithfulness, and comparability of the information that a reporting entity provides in its financial statements about a transfer of financial assets; the effects of a transfer on its financial position, financial performance, and cash flows; and a transferors continuing involvement, if any, in transferred financial assets. The amendment eliminates the concept of a qualifying special-purpose entity for accounting purposes and must be applied as of the beginning of the first annual reporting period beginning after November15, 2009. This amendment must be applied to transfers occurring on or after the effective date and the disclosure provisions must be applied to transfers that occurred both before and after the effective date. The Company is currently evaluating the impact that these amendments will have on its consolidated financial statements. Oil and Gas Reporting Requirements In December2008, the U.S. Securities and Exchange Commission (SEC) approved amendments to its oil and gas reporting requirements which exist in their current form in Regulations S-K and S-X under the Securities Act of 1933 and the Securities Exchange Act of 1934, as well as Industry Guide 2. The amendments are intended to provide investors with a more meaningful and comprehensive understanding of oil and gas reserves by better aligning the oil and gas disclosure requirements with current practices and technology. The amendments are effective for annual reports for fiscal years ending on or after December31, 2009. The Company is currently evaluating the impact the revised oil and gas reporting ruleswill have on its consolidated financial statements.

Other Events

Other Events
	6 Months Ended Jun. 30, 2009 USD / shares
Notes to Condensed Consolidated Financial Statements
Other Events	L. Other Events On May12, 2009, the Company completed a public offering of $700 million in aggregate principal amount of 8.125% Senior Notes (Senior Notes) due June1, 2019. The proceeds from the offering were used to repay short-term borrowings under the Companys revolving credit facility and will fund part of the Companys 2009 capital program. The indenture governing the Senior Notes contains covenants that limit the Companys ability to, among other things, incur certain liens securing indebtedness, engage in certain sale and leaseback transactions, and enter into certain consolidations, mergers, conveyances, transfers or leases of all or substantially all of the Companys assets. The Company has evaluated subsequent events through July29, 2009.

Document and Entity Information

Document and Entity Information (USD $)
	6 Months Ended Jun. 30, 2009	Jun. 30, 2008
Document and Entity Information
Entity Registrant Name	EQT Corp
Entity Central Index Key	0000033213
Document Type	10-Q
Document Period End Date	2009-06-30
Amendment Flag	false
Amendment Description
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Public Float		$8,892,460,969
Entity Common Stock, Shares Outstanding	130,903,532