Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Feb. 24, 2014 | Jun. 28, 2013 | |
Document And Entity Information [Abstract] | ' | ' | ' |
Document Type | '10-K | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Period End Date | 31-Dec-13 | ' | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Entity Registrant Name | 'Southwestern Energy Co | ' | ' |
Entity Central Index Key | '0000007332 | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Filer Category | 'Large Accelerated Filer | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 352,930 | ' |
Entity Well-known Seasoned Issuer | 'Yes | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Public Float | ' | ' | $12,840,843,498 |
Trading Symbol | 'SWN | ' | ' |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) | 12 Months Ended | |||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
Operating Revenues: | ' | ' | ' | |||
Gas sales | $2,381,478 | $1,956,311 | $2,078,151 | |||
Gas marketing | 792,165 | 591,528 | 714,123 | |||
Oil sales | 16,420 | 8,427 | 9,085 | |||
Gas gathering | 181,082 | 173,727 | 149,973 | |||
Total Operating Revenues | 3,371,145 | 2,729,993 | 2,951,332 | |||
Operating Costs and Expenses: | ' | ' | ' | |||
Gas purchases - midstream services | 781,626 | 592,466 | 709,091 | |||
Operating expenses | 328,503 | 244,735 | 240,944 | |||
General and administrative expenses | 191,310 | 175,147 | 158,041 | |||
Depreciation, depletion and amortization | 786,612 | 810,953 | 704,511 | |||
Impairment of natural gas and oil properties | ' | 1,939,734 | ' | |||
Taxes, other than income taxes | 79,471 | 67,584 | 65,518 | |||
Total operating costs and expenses | 2,167,522 | 3,830,619 | 1,878,105 | |||
Operating Income (Loss) | 1,203,623 | -1,100,626 | [1] | 1,073,227 | ||
Interest Expense: | ' | ' | ' | |||
Interest on debt | 100,051 | 93,296 | 65,421 | |||
Other interest charges | 4,355 | 4,454 | 4,306 | |||
Interest capitalized | -62,812 | -62,093 | -45,652 | |||
Total Interest Expense | 41,594 | [2] | 35,657 | [2] | 24,075 | [2] |
Other Income, Net | 2,207 | 1,030 | 264 | |||
Gain (Loss) on Derivatives | 26,141 | -14,950 | 1,574 | |||
Income (Loss) Before Income Taxes | 1,190,377 | -1,150,203 | 1,050,990 | |||
Provision (Benefit) for Income Taxes: | ' | ' | ' | |||
Current | -11,071 | 18,689 | 4,198 | |||
Deferred | 497,945 | -461,828 | 409,023 | |||
Total provision for income taxes | 486,874 | [2] | -443,139 | [2] | 413,221 | [2] |
Net Income (Loss) | $703,503 | ($707,064) | $637,769 | |||
Earnings (Loss) Per Share: | ' | ' | ' | |||
Basic | $2.01 | ($2.03) | $1.84 | |||
Diluted | $2 | ($2.03) | $1.82 | |||
Weighted Average Common Shares Outstanding: | ' | ' | ' | |||
Basic | 350,465,430 | 348,610,503 | 347,205,316 | |||
Effect Of: | ' | ' | ' | |||
Stock Options | 377,626 | ' | 2,475,053 | |||
Restricted Stock Awards | 258,396 | ' | 241,044 | |||
Diluted | 351,101,452 | 348,610,503 | 349,921,413 | |||
[1] | The operating loss for the E&P segment for the twelve months ended December 31, 2012 includes a $1,939.7 million non-cash ceiling test impairment of our natural gas and oil properties. | |||||
[2] | Interest expense and the provision (benefit) for income taxes by segment are an allocation of corporate amounts as they are incurred at the corporate level. |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (USD $) | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) | ' | ' | ' | |||
Net income (loss) | $703,503 | ($707,064) | $637,769 | |||
Change in derivatives: | ' | ' | ' | |||
Reclassification to earnings | -185,506 | [1] | -382,156 | [1] | -194,693 | [1] |
Ineffectiveness | 991 | [2] | -1,474 | [2] | 2,518 | [2] |
Change in fair value of derivative instruments | 21,619 | [3] | 130,935 | [3] | 520,552 | [3] |
Total change in derivatives | -162,896 | -252,695 | 328,377 | |||
Change in value of pension and other postretirement liabilities: | ' | ' | ' | |||
Current period net gain (loss) | 11,673 | [4] | -7,466 | [4] | -4,129 | [4] |
Less: amortization of prior service cost included in net periodic pension cost | 1,080 | 1,008 | 766 | |||
Total change in value of pension and other postretirement liabilities | 12,753 | [5] | -6,458 | [5] | -3,363 | [5] |
Change in currency translation adjustment | -4,003 | 529 | -561 | |||
Comprehensive income (loss) | $549,357 | ($965,688) | $962,222 | |||
[1] | Net of ($123.7), ($249.4), and ($126.6) million in taxes for the years ended December 31, 2013, 2012 and 2011, respectively. | |||||
[2] | Net of $0.7, ($1.0), and $1.6 million in taxes for the years ended December 31, 2013, 2012 and 2011, respectively. | |||||
[3] | Net of $16.3, $85.1, and $338.4 million in taxes for the years ended December 31, 2013, 2012 and 2011, respectively. | |||||
[4] | Net of $7.5, ($4.9), and ($2.7) million in taxes for the years ended December 31, 2013, 2012 and 2011, respectively. | |||||
[5] | Net of $0.7, $0.7, and $0.5 million in taxes for the years ended December 31, 2013, 2012, and 2011, respectively. |
CONSOLIDATED_STATEMENTS_OF_COM1
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) | ' | ' | ' |
Reclassification to earnings tax | ($123.70) | ($249.40) | ($126.60) |
Ineffectiveness tax | 0.7 | -1 | 1.6 |
Change in fair value of derivative instruments tax | 16.3 | 85.1 | 338.4 |
Current period net gain (loss) tax | 7.5 | -4.9 | -2.7 |
Amortization of prior service cost included in net periodic pension cost tax | $0.70 | $0.70 | $0.50 |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | ||
In Thousands, unless otherwise specified | ||||
Current assets: | ' | ' | ||
Cash and cash equivalents | $22,938 | $53,583 | ||
Restricted cash | ' | 8,542 | ||
Accounts receivable | 464,045 | 377,638 | ||
Inventories | 37,745 | 28,141 | ||
Derivative asset | 70,871 | 282,693 | ||
Other current assets | 48,576 | 58,315 | ||
Total current assets | 644,175 | 808,912 | ||
Property and Equipment: | ' | ' | ||
Natural gas and oil properties, using the full cost method, including $956.5 million in 2013 and $1,023.9 million in 2012 excluded from amortization | 13,293,841 | 11,283,114 | ||
Gathering systems | 1,306,074 | 1,148,261 | ||
Other | 702,544 | 597,064 | ||
Less: Accumulated depreciation, depletion and amortization | -8,005,836 | -7,191,463 | ||
Total property and equipment, net | 7,296,623 | 5,836,976 | ||
Other long-term assets | 106,928 | 91,639 | ||
TOTAL ASSETS | 8,047,726 | 6,737,527 | ||
Current liabilities: | ' | ' | ||
Accounts payable | 507,468 | 459,569 | ||
Taxes payable | 68,019 | 62,980 | ||
Interest payable | 33,485 | 34,431 | ||
Advances from partners | ' | 68,919 | ||
Current deferred income taxes | 24,353 | 106,123 | ||
Other current liabilities | 54,686 | 35,749 | ||
Total current liabilities | 688,011 | 767,771 | ||
Long-term debt | 1,950,096 | 1,668,273 | ||
Deferred income taxes | 1,532,329 | 1,049,138 | ||
Pension and other postretirement liabilities | 15,823 | 33,174 | ||
Other long-term liabilities | 239,437 | 183,299 | ||
Total long-term liabilities | 3,737,685 | 2,933,884 | ||
Commitments and contingencies | ' | ' | ||
Equity: | ' | ' | ||
Common stock, $0.01 par value; authorized 1,250,000,000 shares; issued 352,938,584 shares in 2013 and 351,100,391 in 2012 | 3,529 | 3,511 | ||
Additional paid-in capital | 970,524 | 934,939 | ||
Retained earnings | 2,652,653 | 1,949,150 | ||
Accumulated other comprehensive income | -4,342 | [1] | 149,804 | [1] |
Common stock in treasury, 9,924 shares in 2013 and 64,715 in 2012 | -334 | -1,532 | ||
Total equity | 3,622,030 | 3,035,872 | ||
TOTAL LIABILITIES AND EQUITY | $8,047,726 | $6,737,527 | ||
[1] | All amounts are net of tax. |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, except Share data, unless otherwise specified | ||
CONDENSED CONSOLIDATED BALANCE SHEETS | ' | ' |
Natural gas and oil properties, using the full cost method, costs excluded from amortization | $956.50 | $1,023.90 |
Common Stock, Par Value | $0.01 | $0.01 |
Common Stock, Authorized, Shares | 1,250,000,000 | 1,250,000,000 |
Common Stock, Issued, Shares | 352,938,584 | 351,100,391 |
Common Stock in Treasury, Shares | 9,924,000 | 64,715,000 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Cash Flows From Operating Activities | ' | ' | ' |
Net income (loss) | $703,503 | ($707,064) | $637,769 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' | ' |
Depreciation, depletion and amortization | 790,553 | 814,710 | 707,966 |
Impairment of natural gas and oil properties | ' | 1,939,734 | ' |
Deferred income taxes | 497,945 | -461,828 | 409,023 |
(Gain) loss on derivatives, net of settlement | -21,380 | 2,154 | -5,600 |
Stock-based compensation | 13,270 | 11,795 | 10,550 |
Other | -91 | -619 | 6,310 |
Change in assets and liabilities: | ' | ' | ' |
Accounts receivable | -86,134 | -35,717 | 9,659 |
Inventories | -5,851 | 18,111 | -12,975 |
Accounts payable | 74,229 | 41,275 | 11,490 |
Taxes payable | 5,040 | 22,289 | -9,360 |
Interest payable | -377 | 5,058 | 610 |
Advances from partners | -68,918 | -15,163 | 2,377 |
Tax benefit for stock-based compensation | ' | ' | -14,626 |
Other assets and liabilities | 6,739 | 19,207 | -13,376 |
Net cash provided by operating activities | 1,908,528 | 1,653,942 | 1,739,817 |
Cash Flows From Investing Activities | ' | ' | ' |
Capital investments | -2,252,647 | -2,107,755 | -2,184,474 |
Proceeds from sale of property and equipment | 18,163 | 201,101 | 154,526 |
Transfers to restricted cash | 8,542 | -167,788 | -85,055 |
Transfers from restricted cash | ' | 159,246 | 85,055 |
Other | 10,166 | 8,519 | 5,158 |
Net cash used in investing activities | -2,215,776 | -1,906,677 | -2,024,790 |
Cash Flows From Financing Activities | ' | ' | ' |
Payments on current portion of long-term debt | -1,200 | -1,200 | -1,200 |
Payments on revolving long-term debt | -3,147,750 | -2,263,900 | -3,445,900 |
Borrowings under revolving long-term debt | 3,430,650 | 1,592,400 | 3,696,200 |
Change in bank drafts outstanding | -7,174 | -35,608 | 24,637 |
Proceeds from issuance of long-term debt | ' | 998,780 | ' |
Debt issuance costs | ' | -8,339 | ' |
Credit Facility costs | -6,150 | ' | -10,211 |
Proceeds from exercise of common stock options | 9,801 | 9,184 | 6,412 |
Tax benefit for stock-based compensation | ' | ' | 14,626 |
Other | -978 | -428 | -261 |
Net cash provided by financing activities | 277,199 | 290,889 | 284,303 |
Effect of exchange rate changes on cash | -596 | -198 | 242 |
Increase (decrease) in cash and cash equivalents | -30,645 | 37,956 | -428 |
Cash and cash equivalents at beginning of year | 53,583 | 15,627 | 16,055 |
Cash and cash equivalents at end of year | $22,938 | $53,583 | $15,627 |
CONSOLIDATED_STATEMENT_OF_CHAN
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY (USD $) | Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Common Stock in Treasury | Total | |
In Thousands, unless otherwise specified | |||||||
Balance at Dec. 31, 2010 | $3,477 | $862,423 | $2,018,445 | $83,975 | ($3,444) | $2,964,876 | |
Balance, shares at Dec. 31, 2010 | 347,734 | ' | ' | ' | ' | ' | |
Comprehensive income (loss): | ' | ' | ' | ' | ' | ' | |
Net income (loss) | ' | ' | 637,769 | ' | ' | 637,769 | |
Other comprehensive income (loss) | ' | ' | ' | 324,453 | ' | 324,453 | |
Comprehensive income (loss) | ' | ' | ' | ' | ' | 962,222 | |
Tax benefit for stock-based compensation | ' | 14,626 | ' | ' | ' | 14,626 | |
Stock-based compensation | ' | 19,036 | ' | ' | ' | 19,036 | |
Exercise of stock options | 9 | 6,403 | ' | ' | ' | 6,412 | |
Issuance of restricted stock, shares | 851 | ' | ' | ' | ' | ' | |
Issuance of restricted stock | 5 | -5 | ' | ' | ' | ' | |
Cancellation of restricted stock, shares | 532 | ' | ' | ' | ' | ' | |
Cancellation of restricted stock | ' | 1 | ' | ' | ' | 1 | |
Tax withholding - stock compensation, shares | -52 | ' | ' | ' | ' | ' | |
Tax withholding - stock compensation | ' | -262 | ' | ' | ' | -262 | |
Issuance of stock awards, shares | -7 | ' | ' | ' | ' | ' | |
Issuance of stock awards | -1 | -42 | ' | ' | ' | -42 | |
Treasury stock - non-qualified plan | ' | 1,135 | ' | ' | 1,216 | 2,351 | |
Balance at Dec. 31, 2011 | 3,491 | 903,399 | 2,656,214 | 408,428 | -2,228 | 3,969,304 | |
Balance, shares at Dec. 31, 2011 | 349,059 | ' | ' | ' | ' | ' | |
Comprehensive income (loss): | ' | ' | ' | ' | ' | ' | |
Net income (loss) | ' | ' | -707,064 | ' | ' | -707,064 | |
Other comprehensive income (loss) | ' | ' | ' | -258,624 | ' | -258,624 | |
Comprehensive income (loss) | ' | ' | ' | ' | ' | -965,688 | |
Stock-based compensation | ' | 22,212 | ' | ' | ' | 22,212 | |
Exercise of stock options, shares | 1,607 | ' | ' | ' | ' | ' | |
Exercise of stock options | 16 | 9,168 | ' | ' | ' | 9,184 | |
Issuance of restricted stock, shares | 539 | ' | ' | ' | ' | ' | |
Issuance of restricted stock | 5 | -5 | ' | ' | ' | ' | |
Cancellation of restricted stock, shares | -95 | ' | ' | ' | ' | ' | |
Cancellation of restricted stock | -1 | 1 | ' | ' | ' | ' | |
Tax withholding - stock compensation, shares | -11 | ' | ' | ' | ' | ' | |
Tax withholding - stock compensation | ' | -393 | ' | ' | ' | -393 | |
Issuance of stock awards, shares | 1 | ' | ' | ' | ' | ' | |
Issuance of stock awards | ' | 44 | ' | ' | ' | 44 | |
Treasury stock - non-qualified plan | ' | 513 | ' | ' | 696 | 1,209 | |
Balance at Dec. 31, 2012 | 3,511 | 934,939 | 1,949,150 | 149,804 | -1,532 | 3,035,872 | |
Balance, shares at Dec. 31, 2012 | 351,100 | ' | ' | ' | ' | ' | |
Comprehensive income (loss): | ' | ' | ' | ' | ' | ' | |
Net income (loss) | ' | ' | 703,503 | ' | ' | 703,503 | |
Other comprehensive income (loss) | ' | ' | ' | -154,146 | ' | -154,146 | [1] |
Comprehensive income (loss) | ' | ' | ' | ' | ' | 549,357 | |
Stock-based compensation | ' | 25,502 | ' | ' | ' | 25,502 | |
Exercise of stock options, shares | 834 | ' | ' | ' | ' | ' | |
Exercise of stock options | 8 | 10,088 | ' | ' | ' | 10,096 | |
Issuance of restricted stock, shares | 1,103 | ' | ' | ' | ' | ' | |
Issuance of restricted stock | 11 | -11 | ' | ' | ' | ' | |
Cancellation of restricted stock, shares | -74 | ' | ' | ' | ' | ' | |
Cancellation of restricted stock | -1 | 1 | ' | ' | ' | ' | |
Tax withholding - stock compensation, shares | -25 | ' | ' | ' | ' | ' | |
Tax withholding - stock compensation | ' | -978 | ' | ' | ' | -978 | |
Issuance of stock awards, shares | 1 | ' | ' | ' | ' | ' | |
Issuance of stock awards | ' | 49 | ' | ' | ' | 49 | |
Treasury stock - non-qualified plan | ' | 934 | ' | ' | 1,198 | 2,132 | |
Balance at Dec. 31, 2013 | $3,529 | $970,524 | $2,652,653 | ($4,342) | ($334) | $3,622,030 | |
Balance, shares at Dec. 31, 2013 | 352,939 | ' | ' | ' | ' | ' | |
[1] | All amounts are net of tax. |
Organization_and_Summary_of_Si
Organization and Summary of Significant Accounting Policies | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Condensed Consolidating Financial Information [Abstract] | ' | ||||||||
Organization and Summary of Significant Accounting Policies | ' | ||||||||
(1) ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |||||||||
Nature of Operations | |||||||||
Southwestern Energy Company (including its subsidiaries, collectively, “Southwestern” or the “Company”) is an independent energy company engaged in natural gas and oil exploration, development and production. The Company engages in natural gas and oil exploration and production, natural gas gathering and natural gas marketing through its subsidiaries. Southwestern’s exploration, development and production (“E&P”) activities are principally focused within the United States on development of an unconventional gas reservoir in Arkansas, known as the Fayetteville Shale, in Pennsylvania, where we are targeting the unconventional gas reservoir known as the Marcellus Shale, and to a lesser extent in Texas, Arkansas, and Oklahoma in the Arkoma Basin. We have commenced exploration operations in Arkansas and Louisiana testing an unconventional oil play targeting the Lower Smackover Brown Dense. In 2010, we commenced an exploration program in New Brunswick, Canada, which represents our first operations outside of the United States. Southwestern’s natural gas gathering and marketing (Midstream Services) activities primarily support the Company’s E&P activities in Arkansas, Pennsylvania and Texas. | |||||||||
Basis of Presentation | |||||||||
The consolidated financial statements included in this Annual Report on Form 10-K present the Company’s financial position, results of operations and cash flows for the periods presented in accordance with accounting principles generally accepted in the United States (“GAAP”). The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts of assets and liabilities and disclosure of contingent assets and liabilities, if any, at the date of the financial statements, and the amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The Company evaluates subsequent events through the date the financial statements are issued. | |||||||||
Certain reclassifications have been made to the prior year’s financial statements to conform to the 2013 presentation. The effects of the reclassifications were not material to the Company’s consolidated financial statements. | |||||||||
Principles of Consolidation | |||||||||
The consolidated financial statements include the accounts of Southwestern and its wholly owned subsidiaries. All significant intercompany accounts and transactions have been eliminated. | |||||||||
Revenue Recognition | |||||||||
Natural gas and oil sales. Natural gas sales and oil sales are recognized when the products are sold to a purchaser at a fixed or determinable price, delivery has occurred, title has transferred and collectability of the revenue is reasonably assured. The Company uses the entitlement method that requires revenue recognition for the Company’s net revenue interest of sales from its properties. Accordingly, natural gas sales and oil sales are not recognized for deliveries in excess of the Company’s net revenue interest, while natural gas sales and oil sales are recognized for any under delivered volumes. Production imbalances are generally recorded at estimated sales prices of the anticipated future settlements of the imbalances. As of December 31, 2013, the Company had overproduction of 11.2 Bcf valued at $37.9 million and underproduction of 12.5 Bcf valued at $38.5 million. At December 31, 2012, the Company had overproduction of 8.4 Bcf valued at $28.4 million and underproduction of 9.4 Bcf valued at $29.9 million. | |||||||||
Gas marketing. The Company generally markets its natural gas, as well as some gas produced by third parties, to brokers, local distribution companies and end-users, pursuant to a variety of contracts. Gas marketing revenues are recognized when delivery of natural gas has occurred, title has transferred, the price is fixed or determinable and collectability of the revenue is reasonably assured. | |||||||||
Gas gathering. In certain areas the Company gathers its natural gas, as well as some natural gas produced by third parties, pursuant to a variety of contracts. Gas gathering revenues are recognized when the service is performed, the price is fixed or determinable and collectability of the revenue is reasonably assured. | |||||||||
Other. The Company maintains an underground gas storage facility and generally sells natural gas from its storage facility during the winter gas withdrawal season. Revenue is recognized on natural gas storage sales when the natural gas is sold to a purchaser at a fixed or determinable price, delivery has occurred, title has transferred and collectability of the revenue is reasonably assured. Other revenues, a component of gas sales, include a gain of $1.0 million in 2013, and losses of $0.9 million in 2012 and 2011, respectively, primarily related to the sale of natural gas in underground storage. | |||||||||
Cash and Cash Equivalents | |||||||||
Cash and cash equivalents are defined by the Company as short-term, highly liquid investments that have an original maturity of three months or less and deposits in money market mutual funds that are readily convertible into cash. Management considers cash and cash equivalents to have minimal credit and market risk. | |||||||||
Certain of the Company’s cash accounts are zero-balance controlled disbursement accounts that do not have the right of offset against the Company’s other cash balances. The Company presents the outstanding checks written against these zero-balance accounts as a component of accounts payable in the accompanying consolidated balance sheets. Outstanding checks included as a component of accounts payable totaled $4.9 million and $12.1 million as of December 31, 2013 and 2012, respectively. | |||||||||
Restricted Cash | |||||||||
Restricted cash represents proceeds deposited by the Company with a qualified intermediary to facilitate like-kind exchange transactions pursuant to Section 1031 of the Internal Revenue Code. | |||||||||
Inventory | |||||||||
Inventory recorded in current assets includes $3.7 million as of December 31, 2013 and $5.6 million at December 31, 2012, for natural gas in underground storage owned by the Company’s E&P segment, and $34.1 million as of December 31, 2013 and $22.5 million at December 31, 2012 for tubulars and other equipment used in the E&P segment. | |||||||||
The Company has one natural gas storage facility. The current portion of the natural gas classified in inventory and carried at the lower of cost or market totaled $3.7 million as of December 31, 2013. The non-current portion of the natural gas classified in property and equipment and carried at cost totaled $16.0 million as of December 31, 2013. The carrying value of the non-current natural gas is evaluated for recoverability whenever events or changes in circumstances indicate that it may not be recoverable. Withdrawals of current natural gas in underground storage are accounted for by a weighted average cost method whereby natural gas withdrawn from storage is relieved at the weighted average cost of current natural gas remaining in the facility. | |||||||||
Other assets include $15.1 million as of December 31, 2013 and $13.8 million at December 31, 2012 for inventory held by the Midstream Services segment consisting primarily of pipe that will be used to construct gathering systems. | |||||||||
Tubulars and other equipment are carried at the lower of cost or market and are accounted for by a moving weighted average cost method that is applied within specific classes of inventory items. Purchases of inventory are recorded at cost and inventory is relieved at the weighted average cost of items remaining within a specified class. | |||||||||
Property, Depreciation, Depletion and Amortization | |||||||||
Natural Gas and Oil Properties. The Company utilizes the full cost method of accounting for costs related to the exploration, development and acquisition of natural gas and oil properties. Under this method, all such costs (productive and nonproductive), including salaries, benefits and other internal costs directly attributable to these activities are capitalized on a country by country basis and amortized over the estimated lives of the properties using the units-of-production method. These capitalized costs, less accumulated amortization and related deferred income taxes, are subject to a ceiling test that limits such pooled costs to the aggregate of the present value of future net revenues attributable to proved natural gas and oil reserves discounted at 10% plus the lower of cost or market value of unproved properties. Any costs in excess of the ceiling are written off as a non-cash expense. The expense may not be reversed in future periods, even though higher natural gas and oil prices may subsequently increase the ceiling. Full cost companies must use the average quoted price from the first day of each month from the previous 12 months, including the impact of derivatives qualifying as cash flow hedges, to calculate the ceiling value of their reserves. | |||||||||
Using the average quoted price from the first day of each month from the previous 12 months for Henry Hub natural gas of $3.67 per MMBtu, West Texas Intermediate oil of $93.42 per barrel, and NGLs of $43.45 per barrel, adjusted for market differentials, the Company’s net book value of its United States natural gas and oil properties did not exceed the ceiling amount and did not result in a ceiling test impairment at December 31, 2013. Cash flow hedges of natural gas production in place increased this ceiling amount by approximately $70.7 million, net of tax, as of December 31, 2013. At December 31, 2012, the ceiling value of the Company’s reserves was calculated based upon the average quoted price from the first day of each month from the previous 12 months for Henry Hub natural gas of $2.76 per MMBtu for Henry Hub natural gas and West Texas Intermediate oil of $91.21 per barrel. At December 31, 2011, the ceiling value of the Company’s reserves was calculated based upon average quoted price from the first day of each month from the previous 12 months for Henry Hub natural gas of $4.12 per MMBtu for Henry Hub natural gas and for West Texas Intermediate oil of $92.71. Using the first-day-of-the-month prices of natural gas for the first two months of 2014 and NYMEX strip prices for the remainder of 2014, as applicable, the prices required to be used to determine the ceiling limit is not expected to result in a ceiling test write-down in 2014. Decreases in market prices as well as changes in production rates, levels of reserves, evaluation of costs excluded from amortization, future development costs and production costs could result in future ceiling test impairments. During 2012, the net capitalized costs of our natural gas and oil properties exceeded the ceiling by approximately $1,192.4 million (net of tax) and resulted in a non-cash ceiling test impairment. | |||||||||
All of our costs directly associated with the acquisition and evaluation of properties in Canada relating to our exploration program as of December 31, 2013 and as of December 31, 2012 were unproved and did not exceed the ceiling amount. If our exploration program in Canada is unsuccessful on all or a portion of these properties, or if further extensions are not granted, if requested, a ceiling test impairment may result in the future. | |||||||||
Gathering Systems. The Company’s investment in gathering systems is primarily related to its Fayetteville Shale assets in Arkansas and the Marcellus Shale assets in Pennsylvania. These assets are being depreciated on a straight-line basis over 25 years. | |||||||||
Capitalized Interest. Interest is capitalized on the cost of unevaluated natural gas and oil properties that are excluded from amortization and actively being evaluated. | |||||||||
Asset Retirement Obligations. An asset retirement obligation associated with the retirement of a tangible long-lived asset is recognized as a liability in the period incurred or when it becomes determinable, with an associated increase in the carrying amount of the related long-lived asset. The cost of the tangible asset, including the asset retirement cost, is depreciated over the useful life of the asset. The asset retirement obligation is recorded at its estimated fair value and accretion expense is recognized over time as the discounted liability is accreted to its expected settlement value. The Company owns natural gas and oil properties, which require expenditures to plug and abandon the wells and reclaim the associated pads when reserves in the wells are depleted. | |||||||||
Income Taxes | |||||||||
The Company follows the asset and liability method of accounting for income taxes. Under this method, deferred tax assets and liabilities are recorded for the estimated future tax consequences attributable to the differences between the financial carrying amounts of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using the tax rate in effect for the year in which those temporary differences are expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in the year of the enacted rate change. Deferred income taxes are provided to recognize the income tax effect of reporting certain transactions in different years for income tax and financial reporting purposes. A valuation allowance is established to reduce deferred tax assets if it is more likely than not that the related tax benefits will not be realized. | |||||||||
The Company accounts for uncertainty in income taxes using a recognition and measurement threshold for tax positions taken or expected to be taken in a tax return. The tax benefit from an uncertain tax position is recognized when it is more likely than not that the position will be sustained upon examination by taxing authorities based on technical merits of the position. The amount of the tax benefit recognized is the largest amount of the benefit that has a greater than 50% likelihood of being realized upon ultimate settlement. The effective tax rate and the tax basis of assets and liabilities reflect management’s estimates of the ultimate outcome of various tax uncertainties. | |||||||||
Derivative Financial Instruments | |||||||||
The Company uses derivative financial instruments to manage defined commodity price risks and does not use them for speculative trading purposes. The Company uses commodity fixed price swaps and fixed price options contracts to hedge sales of natural gas. Gains and losses resulting from the settlement of hedge contracts have been recognized in gas sales if designated for hedge accounting treatment or gain (loss) on derivative if not designated for hedge accounting treatment in the consolidated statements of operations when the contracts expire and the related physical transactions of the commodity hedged are recognized. Changes in the fair value of derivative instruments designated as cash flow hedges and not settled are included in other comprehensive income (loss) to the extent that they are effective in offsetting the changes in the cash flows of the hedged item. In contrast, gains and losses from the ineffective portion of fixed price swaps designated for hedge accounting treatment are recognized currently in gas sales in the consolidated statement of operations. Gains and losses from the ineffective portion of fixed price swaps not designated for hedge accounting treatment, interest rate swaps, fixed price call options, and basis swaps that were not designated for hedge accounting treatment are recognized in gain (loss) on derivatives in the consolidated statement of operations. Changes in the fair value of derivative instruments designated as fair value hedges as well as the offsetting gain or loss on the hedged item are recognized in earnings immediately. See Note 5 and Note 7 for a discussion of the Company’s hedging activities. | |||||||||
Earnings Per Share | |||||||||
Basic earnings per common share is computed by dividing net income (loss) attributable to Southwestern by the weighted average number of common shares outstanding during each year. The diluted earnings per share calculation adds to the weighted average number of common shares outstanding the incremental shares that would have been outstanding assuming the exercise of dilutive stock options and the vesting of unvested restricted shares of common stock. Antidilutive is an increase in earnings per share or reduction in net loss per share resulting from the conversion, exercise, or contingent issuance of certain securities, as defined by GAAP. | |||||||||
For the year ended December 31, 2013, outstanding options for 1,569,665 shares with an average exercise price of $28.03 were included in the calculation of diluted shares. Options for 1,634,695 shares were excluded from the calculation because they would have had an antidilutive effect. As we recognized a net loss for the year ended December 31, 2012, the unvested stock options were not recognized in diluted earnings per share (“Diluted EPS”) calculations as they would be antidilutive. Options for 1,716,109 shares were excluded from the calculation of diluted shares because they would have had an antidilutive effect. For the year ended December 31, 2011, outstanding options for 3,577,104 shares with an average price of $11.78 were included in the calculation of diluted shares. Options for 881,254 shares were excluded from the calculation because they would have had an antidilutive effect. | |||||||||
For the year ended December 31, 2013, 258,396 shares of restricted stock were included in the calculation of diluted shares. The calculation excluded 114,433 shares of restricted stock because they would have had an antidilutive effect. As we recognized a net loss for the year ended December 31, 2012, the unvested share-based payments were not recognized in diluted earnings per share (“Diluted EPS”) calculations as they would be antidilutive. The calculation of diluted shares excluded 602,429 shares of restricted because they would have had an antidilutive effect. For the year ended December 31, 2011, 241,044 shares of restricted stock were included in the calculation of diluted shares. The calculation excluded 135,352 shares of restricted stock because they would have had an antidilutive effect. | |||||||||
Supplemental Disclosures of Cash Flow Information | |||||||||
Supplemental disclosures of cash flow information (in thousands): | |||||||||
For the years ended December 31, | |||||||||
2013 | 2012 | 2011 | |||||||
(in thousands) | |||||||||
Cash paid during the year for interest, net of amounts | $ | 36,267 | $ | 17,311 | $ | 19,159 | |||
capitalized | |||||||||
Cash paid during the year for income taxes | 18,787 | 818 | 4,198 | ||||||
Increase (decrease) in noncash property additions | -12,730 | -26,240 | 30,389 | ||||||
Stock-Based Compensation | |||||||||
The Company accounts for stock-based compensation transactions using a fair value method and recognizes an amount equal to the fair value of the stock options and stock-based payment cost in either the consolidated statement of operations or capitalizes the cost into natural gas and oil properties or gathering systems included in property and equipment. Costs are capitalized when they are directly related to the acquisition, exploration and development activities of the Company’s natural gas and oil properties or directly related to the construction of the Company’s gathering systems. | |||||||||
Treasury Stock | |||||||||
The Company maintains a non-qualified deferred compensation supplemental retirement savings plan for certain key employees whereby participants may elect to defer and contribute a portion of their compensation to a Rabbi Trust, as permitted by the plan. The Company includes the assets and liability of its supplemental retirement savings plan in its consolidated balance sheet. Shares of the Company’s common stock purchased under the non-qualified deferred compensation arrangement are held in the Rabbi Trust and are presented as treasury stock and carried at cost. As of December 31, 2013, 9,924 shares were accounted for as treasury stock, compared to 64,715 shares at December 31, 2012. | |||||||||
Foreign Currency Translation | |||||||||
We have designated the Canadian dollar as the functional currency for our operations in Canada. The cumulative translation effects of translating the accounts from the functional currency into the U.S. dollar at current exchange rates are included as a separate component of stockholders' equity. | |||||||||
New Accounting Standards Implemented in this Report | |||||||||
In January 2013, the FASB issued Accounting Standards Update No. 2013-01, Balance Sheet (Topic 210): Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities (“Update 2013-01”), which finalizes Proposed ASU No. 2012-250 and clarifies the scope of transactions that are subject to disclosures concerning offsetting. Update 2013-01 addresses implementation issues regarding the scope of ASU No. 2011-11, Balance Sheet (Topic 210): Disclosures about Offsetting Assets and Liabilities, issued in December 2011. Update 2013-01 clarifies that the scope of the disclosures under U.S. GAAP is limited to derivatives, repurchase agreements and reverse purchase agreements, and securities borrowing and securities lending transactions that are offset either in accordance with FASB ASC Section 210-20-45, Balance Sheet—Offsetting—Other Presentation Matters, or FASB ASC Section 815-10-45, Derivatives and Hedging—Overall—Other Presentation Matters, or are subject to a master netting arrangement or similar agreement. Update 2013-01 requires an entity (1) to apply the amendments for annual reporting periods beginning on or after January 1, 2013 and (2) to provide the required disclosures retrospectively for all comparative periods presented. The implementation of the disclosure requirement did not have a material impact on the Company’s consolidated results of operations, financial position or cash flows. | |||||||||
In February 2013, the FASB issued Accounting Standards Update No. 2013-02, Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income (“Update 2013-02”), which finalizes Proposed ASU No. 2012-240, and seeks to improve the transparency of reporting reclassifications out of accumulated other comprehensive income. Update 2013-02 replaces the presentation requirements in ASU No. 2011-05, Comprehensive Income (Topic 220): Presentation of Comprehensive Income, and ASU No. 2011-12, Comprehensive Income (Topic 220): Deferral of the Effective Date for Amendments to the Presentation of Reclassifications of Items Out of Accumulated Other Comprehensive Income in Accounting Standards Update No. 2011-05. Update 2013-02 requires an entity to report the effect of significant reclassifications out of accumulated other comprehensive income on the respective line items in net income if the amount being reclassified is required under U.S. GAAP to be reclassified in its entirety to net income. For public entities, Update 2013-02 is effective prospectively for reporting periods beginning after December 15, 2012, with early adoption permitted. The implementation of the disclosure requirement did not have a material impact on the Company’s consolidated results of operations, financial position or cash flows. | |||||||||
Acquisitions_And_Divestitures
Acquisitions And Divestitures | 12 Months Ended |
Dec. 31, 2013 | |
Acquisitions And Divestitures [Abstract] | ' |
Acquisitions And Divestitures | ' |
(2) ACQUISITIONS AND DIVESTITURES | |
In April 2013, the Company entered into a definitive purchase agreement to acquire natural gas properties located in Pennsylvania prospective for the Marcellus Shale for approximately $93.0 million, subject to closing conditions. The Company closed the acquisition during the second quarter of 2013 and accounted for it as an asset acquisition. | |
In May 2012, we sold certain oil and natural gas leases, wells and gathering equipment in East Texas for approximately $164 million. The assets included in the sale represented all of the Company’s interests and related assets in the Overton Field in Smith County. The net production from the sold assets was approximately 24.0 MMcfe per day as of the closing date and our net proved reserves were approximately 143.0 Bcfe at December 31, 2011. | |
Prepaid_Expenses
Prepaid Expenses | 12 Months Ended | |||||
Dec. 31, 2013 | ||||||
Prepaid Expenses [Abstract] | ' | |||||
Prepaid Expenses | ' | |||||
(3) PREPAID EXPENSES | ||||||
The components of prepaid expenses included in other current assets as of December 31, 2013 and 2012 consisted of the following: | ||||||
2013 | 2012 | |||||
(in thousands) | ||||||
Prepaid drilling costs | $ | 9,560 | $ | 30,101 | ||
Prepaid insurance | 7,619 | 9,507 | ||||
Prepaid taxes | 13,624 | 572 | ||||
Total | $ | 30,803 | $ | 40,180 | ||
Natural_Gas_And_Oil_Properties
Natural Gas And Oil Properties (Unaudited) | 12 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Natural Gas And Oil Properties [Abstract] | ' | |||||||||||||||
Natural Gas And Oil Properties | ' | |||||||||||||||
(4) NATURAL GAS AND OIL PRODUCING ACTIVITIES (UNAUDITED) | ||||||||||||||||
The Company’s natural gas and oil properties are located in the United States and Canada. | ||||||||||||||||
Net Capitalized Costs | ||||||||||||||||
The following table shows the capitalized costs of natural gas and oil properties and the related accumulated depreciation, depletion and amortization as of December 31, 2013 and 2012: | ||||||||||||||||
2013 | 2012 | |||||||||||||||
(in thousands) | ||||||||||||||||
Proved properties | $ | 12,337,372 | $ | 10,259,226 | ||||||||||||
Unproved properties | 956,469 | -1 | 1,023,888 | -1 | ||||||||||||
Total capitalized costs | 13,293,841 | 11,283,114 | ||||||||||||||
Less: Accumulated depreciation, depletion and amortization | 7,481,335 | 6,774,174 | ||||||||||||||
Net capitalized costs | $ | 5,812,506 | $ | 4,508,940 | ||||||||||||
(1) Includes $72.3 and $40.4 million related to our exploration program in Canada as of December 31, 2013 and 2012, respectively. | ||||||||||||||||
Oil and gas properties not subject to amortization represent investments in unproved properties and major development projects in which we own an interest. These unproved property costs include unevaluated costs associated with leasehold or drilling interests and unevaluated costs associated with wells in progress. The table below sets forth the composition of net unevaluated costs excluded from amortization as of December 31, 2013. | ||||||||||||||||
2013 | 2012 | 2011 | Prior | Total | ||||||||||||
(in thousands) | ||||||||||||||||
Property acquisition costs | $ | 147,791 | $ | 81,889 | $ | 221,451 | $ | 109,994 | $ | 561,125 | -1 | |||||
Exploration and development costs | 166,725 | 48,428 | 47,784 | 38,858 | 301,795 | -1 | ||||||||||
Capitalized interest | 7,792 | 11,067 | 38,145 | 36,545 | 93,549 | -1 | ||||||||||
$ | 322,308 | $ | 141,384 | $ | 307,380 | $ | 185,397 | $ | 956,469 | |||||||
(1)Property acquisition costs include $35.0 million, exploration costs include $31.8 million and capitalized interest includes $5.5 million related to our exploration program in Canada. | ||||||||||||||||
Of the total net unevaluated costs excluded from amortization as of December 31, 2013, approximately $23.1 million is related to unevaluated seismic costs in the Fayetteville Shale, approximately $39.0 million is related to acquisition of undeveloped properties in the Company’s Fayetteville Shale, approximately $195.7 million is related to acquisition of undeveloped properties in the Company’s Marcellus Shale and approximately $275.8 million is related to acquisition of undeveloped properties in the Company’s New Ventures, excluding our exploration program in Canada. The Company has $72.3 million of unevaluated costs related to its exploration program in Canada. Additionally, the Company has approximately $220.7 million of unevaluated costs related to costs of wells in progress. The remaining costs excluded from amortization are related to properties which are not individually significant and on which the evaluation process has not been completed. The timing and amount of property acquisition and seismic costs included in the amortization computation will depend on the location and timing of drilling wells, results of drilling, and other assessments. The Company is, therefore, unable to estimate when these costs will be included in the amortization computation. | ||||||||||||||||
Costs Incurred in Natural Gas and Oil Exploration and Development | ||||||||||||||||
The table below sets forth capitalized costs incurred in natural gas and oil property acquisition, exploration and development activities: | ||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||
(in thousands, except per Mcfe amounts) | ||||||||||||||||
Proved property acquisition costs | $ | 572 | $ | – | $ | 17 | ||||||||||
Unproved property acquisition costs | 168,404 | -1 | 220,822 | -1 | 262,886 | -1 | ||||||||||
Exploration costs | 192,164 | -2 | 197,280 | -2 | 63,419 | -2 | ||||||||||
Development costs | 1,662,138 | 1,492,841 | 1,633,784 | |||||||||||||
Capitalized costs incurred | 2,023,278 | 1,910,943 | 1,960,106 | |||||||||||||
Full cost pool amortization per Mcfe | $ | 1.08 | $ | 1.31 | $ | 1.30 | ||||||||||
-1 | Includes $17.1 million, $3.6 million and $0.2 million, in 2013, 2012 and 2011, respectively, related to our exploration program in Canada. | |||||||||||||||
-2 | Includes $11.5 million, $2.5 million and $18.4 million in 2013, 2012 and 2011, respectively, related to our exploration program in Canada. | |||||||||||||||
Capitalized interest is included as part of the cost of natural gas and oil properties. The Company capitalized $61.6 million, $62.1 million and $43.4 million during 2013, 2012 and 2011, respectively, based on the Company’s weighted average cost of borrowings used to finance expenditures. | ||||||||||||||||
In addition to capitalized interest, the Company capitalized internal costs totaling $262.2 million, $236.5 million and $207.9 million during 2013, 2012 and 2011, respectively, that were directly related to the acquisition, exploration and development of the Company’s natural gas and oil and oil properties Included in these amounts are internal costs from the Company’s subsidiaries involved with vertical integration of the Company’s exploration and development activities and totaled $104.3 million, $81.7 million and $51.3 million during 2013, 2012 and 2011, respectively. All internal costs are included in the Company’s cost of natural gas and oil properties. | ||||||||||||||||
Results of Operations from Natural Gas and Oil Producing Activities | ||||||||||||||||
The table below sets forth the results of operations from natural gas and oil producing activities: | ||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||
(in thousands) | ||||||||||||||||
Sales | $ | 2,404,165 | $ | 1,963,172 | $ | 2,098,914 | ||||||||||
Production (lifting) costs | -628,817 | -505,271 | -469,153 | |||||||||||||
Depreciation, depletion and amortization | -735,215 | -765,192 | -666,107 | |||||||||||||
Impairment of natural gas and oil properties | – | -1,939,734 | – | |||||||||||||
1,040,133 | -1,247,025 | 963,654 | ||||||||||||||
Provision (benefit) for income taxes | 416,042 | -496,738 | 375,435 | |||||||||||||
Results of operations (1) | $ | 624,091 | $ | -750,287 | $ | 588,219 | ||||||||||
(1) Results of operations exclude the mark-to-market gain or loss on commodity derivative instruments. See Note 5 Derivatives and Risk Management. | ||||||||||||||||
The results of operations shown above exclude general and administrative expenses, and interest expense and are not necessarily indicative of the contribution made by our natural gas and oil operations to the Company’s consolidated operating results. Income tax expense is calculated by applying the statutory tax rates to the revenues less costs, including depreciation, depletion and amortization, and after giving effect to permanent differences and tax credits. | ||||||||||||||||
Natural Gas and Oil Reserve Quantities | ||||||||||||||||
The Company engaged the services of Netherland, Sewell & Associates, Inc., or NSAI, an independent petroleum engineering firm, to audit the reserves estimated by the Company’s reservoir engineers. In conducting its audit, the engineers and geologists of NSAI studied the Company’s major properties in detail and independently developed reserve estimates. NSAI’s audit consists primarily of substantive testing, which includes a detailed review of the Company’s major properties and accounted for approximately 95%, 93% and 90% of the present worth of the Company’s total proved reserves as of December 31, 2013, 2012 and 2011, respectively. A reserve audit is not the same as a financial audit and a reserve audit is less rigorous in nature than a reserve report prepared by an independent petroleum engineering firm containing its own estimate of reserves. Reserve estimates are inherently imprecise and the Company’s reserve estimates are generally based upon extrapolation of historical production trends, analogy to similar properties and volumetric calculations. Accordingly, the Company’s estimates are expected to change, and such changes could be material and occur in the near term as future information becomes available. For more information over reserves, refer to the table titled “Changes in Proved Undeveloped Reserves (Bcfe)” in “Business – Exploration and Production” in Item 1 of this Form 10-K. | ||||||||||||||||
The following table summarizes the changes in the Company’s proved natural gas and oil reserves for 2013, 2012 and 2011 all of which were located in the United States: | ||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||
Natural | Natural | Natural | ||||||||||||||
Gas | Oil | Gas | Oil | Gas | Oil | |||||||||||
(MMcf) | (MBbls) | (MMcf) | (MBbls) | (MMcf) | (MBbls) | |||||||||||
Proved reserves, beginning of year | 4,016,798 | 244 | 5,887,207 | 996 | 4,929,980 | 1,219 | ||||||||||
Revisions of previous estimates | 325,374 | 88 | -2,087,985 | -44 | 34,505 | -125 | ||||||||||
Extensions, discoveries and other additions | 3,283,495 | 229 | 918,594 | 154 | 1,459,428 | 2 | ||||||||||
Production | -655,704 | -188 | -564,484 | -83 | -499,433 | -97 | ||||||||||
Acquisition of reserves in place | 4,114 | – | – | – | 13 | – | ||||||||||
Disposition of reserves in place | – | – | -136,534 | -779 | -37,286 | -3 | ||||||||||
Proved reserves, end of year | 6,974,077 | 373 | 4,016,798 | 244 | 5,887,207 | 996 | ||||||||||
Proved developed reserves: | ||||||||||||||||
Beginning of year | 3,195,662 | 243 | 3,254,018 | 983 | 2,687,238 | 1,173 | ||||||||||
End of year | 4,237,495 | 372 | 3,195,662 | 243 | 3,254,018 | 983 | ||||||||||
Proved undeveloped reserves: | ||||||||||||||||
Beginning of year | 821,136 | 1 | 2,633,189 | 13 | 2,242,742 | 46 | ||||||||||
End of year | 2,736,582 | 1 | 821,136 | 1 | 2,633,189 | 13 | ||||||||||
The significant revision of previous estimates in 2012 was primarily due to price revision, as a result of lower average natural gas prices in 2012. The Company has no reserves from synthetic gas, synthetic oil or nonrenewable natural resources intended to be upgraded into synthetic gas or oil. | ||||||||||||||||
Standardized Measure of Discounted Future Net Cash Flows | ||||||||||||||||
The following standardized measures of discounted future net cash flows relating to proved natural gas and oil reserves as of December 31, 2013, 2012 and 2011 are calculated after income taxes and discounted using a 10% annual discount rate and do not purport to present the fair market value the Company’s proved gas and oil reserves: | ||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||
(in thousands) | ||||||||||||||||
Future cash inflows | $ | 22,624,562 | $ | 9,570,652 | $ | 22,012,205 | ||||||||||
Future production costs | -8,895,956 | -4,737,297 | -8,080,207 | |||||||||||||
Future development costs | -3,626,496 | -711,050 | -3,425,185 | |||||||||||||
Future income tax expense | -3,223,271 | -745,251 | -3,366,175 | |||||||||||||
Future net cash flows | 6,878,839 | 3,377,054 | 7,140,638 | |||||||||||||
10% annual discount for estimated timing of cash flows | -3,142,795 | -1,326,389 | -3,689,838 | |||||||||||||
Standardized measure of discounted future net cash flows | $ | 3,736,044 | $ | 2,050,665 | $ | 3,450,800 | ||||||||||
Under the standardized measure, future cash inflows were estimated by applying an average price from the first day of each month from the previous 12 months, adjusted for known contractual changes, to the estimated future production of year-end proved reserves. Prices used for the standardized measure above were $3.67 per MMBtu for natural gas and $93.42 per barrel for oil in 2013, $2.76 per MMBtu for natural gas and $91.21 per barrel for oil in 2012, and $4.12 per MMBtu for natural gas and $92.71 per barrel for oil in 2011. Future cash inflows were reduced by estimated future production and development costs based on year-end costs to determine pre-tax cash inflows. Future income taxes were computed by applying the year-end statutory rate to the excess of pre-tax cash inflows over the Company’s tax basis in the associated proved gas and oil properties after giving effect to permanent differences and tax credits. | ||||||||||||||||
Following is an analysis of changes in the standardized measure during 2013, 2012 and 2011: | ||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||
(in thousands) | ||||||||||||||||
Standardized measure, beginning of year | $ | 2,050,665 | $ | 3,450,800 | $ | 3,013,750 | ||||||||||
Sales and transfers of natural gas and oil produced, net of production costs | -1,774,043 | -1,443,606 | -1,632,156 | |||||||||||||
Net changes in prices and production costs | 1,852,772 | -2,604,591 | -381,131 | |||||||||||||
Extensions, discoveries, and other additions, net of future production and development costs | 1,454,634 | 549,601 | 1,163,992 | |||||||||||||
Acquisition of reserves in place | 4,914 | – | 30 | |||||||||||||
Sales of reserves in place | – | -157,108 | -11,761 | |||||||||||||
Revisions of previous quantity estimates | 348,996 | -1,109,409 | 34,221 | |||||||||||||
Accretion of discount | 232,385 | 480,315 | 426,245 | |||||||||||||
Net change in income taxes | -1,119,798 | 1,079,158 | -103,643 | |||||||||||||
Changes in estimated future development costs | -196,394 | 2,475,470 | 70,492 | |||||||||||||
Previously estimated development costs incurred during the year | 222,982 | 61,949 | 564,894 | |||||||||||||
Changes in production rates (timing) and other | 658,931 | -731,914 | 305,867 | |||||||||||||
Standardized measure, end of year | $ | 3,736,044 | $ | 2,050,665 | $ | 3,450,800 | ||||||||||
Derivatives_and_Risk_Managemen
Derivatives and Risk Management | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Derivatives And Risk Management [Abstract] | ' | ||||||||||
Derivatives and Risk Management | ' | ||||||||||
(5) DERIVATIVES AND RISK MANAGEMENT | |||||||||||
The Company is exposed to volatility in market prices and basis differentials for natural gas and oil which impacts the predictability of its cash flows related to the sale of natural gas and oil. These risks are managed by the Company’s use of certain derivative financial instruments. As of December 31, 2013 and 2012, the Company’s derivative financial instruments consisted of price swaps, basis swaps, fixed price call options, and interest rate swaps. A description of the Company’s derivative financial instruments is provided below: | |||||||||||
Fixed price swaps | The Company receives a fixed price for the contract and pays a floating market price to the counterparty. | ||||||||||
Floating price swaps | The Company receives a floating market price from the counterparty and pays a fixed price. | ||||||||||
Basis swaps | Arrangements that guarantee a price differential for natural gas from a specified delivery point. The Company receives a payment from the counterparty if the price differential is greater than the stated terms of the contract and pays the counterparty if the price differential is less than the stated terms of the contract. | ||||||||||
Fixed price call options | The Company sells fixed price call options in exchange for a premium. At the time of settlement, if the market price exceeds the fixed price of the call option, the Company pays the counterparty such excess on sold fixed price call options. If the market price settles below the fixed price of the call option, no payment is due from either party. | ||||||||||
Interest rate swaps | Interest rate swaps are used to fix or float interest rates on existing or anticipated indebtedness. The purpose of these instruments is to manage the Company’s existing or anticipated exposure to unfavorable interest rate changes. | ||||||||||
GAAP requires that all derivatives be recognized in the balance sheet as either an asset or liability and be measured at fair value. Under GAAP, certain criteria must be satisfied in order for derivative financial instruments to be classified and accounted for as either a cash flow or a fair value hedge. Accounting for qualifying hedges requires a derivative’s gains and losses to be recorded either in earnings or as a component of other comprehensive income. Gains and losses on derivatives that are not elected for hedge accounting treatment or that do not meet hedge accounting requirements are recorded in earnings as a component of gain (loss) on derivatives. Within the gain (loss) on derivatives component of the statement of operations are gains (losses) on derivatives, net of settlement and gains (losses) on derivatives, settled. The Company calculates gains (losses) on derivatives, settled, as the summation of gains and losses on positions that have settled within the period. | |||||||||||
The Company utilizes counterparties for its derivative instruments that it believes are credit-worthy at the time the transactions are entered into and the Company closely monitors the credit ratings of these counterparties. Additionally, the Company performs both quantitative and qualitative assessments of these counterparties based on their credit ratings and credit default swap rates where applicable. However, the events in the financial markets in recent years demonstrate there can be no assurance that a counterparty will be able to meet its obligations to the Company. | |||||||||||
The balance sheet classification of the derivative financial instruments are summarized below as of December 31, 2013 and 2012: | |||||||||||
Derivative Assets | |||||||||||
31-Dec-13 | 31-Dec-12 | ||||||||||
Balance Sheet Classification | Fair Value | Balance Sheet Classification | Fair Value | ||||||||
(in thousands) | |||||||||||
Derivatives designated as hedging | |||||||||||
instruments: | |||||||||||
Fixed price swaps | Derivative asset | $ | 20,631 | Derivative asset | $ | 279,443 | |||||
Fixed price swaps | Other long-term assets | – | Other long-term assets | 8,550 | |||||||
Total derivatives designated as hedging | $ | 20,631 | $ | 287,993 | |||||||
instruments | |||||||||||
Derivatives not designated as hedging | |||||||||||
instruments: | |||||||||||
Basis swaps | Derivative asset | $ | 12,858 | Derivative asset | $ | 3,250 | |||||
Fixed price swaps | Derivative asset | 37,382 | Derivative asset | – | |||||||
Basis swaps | Other long-term assets | 107 | Other long-term assets | 901 | |||||||
Interest rate swaps | Other long-term assets | 7,525 | Other long-term assets | – | |||||||
Total derivatives not designated as | $ | 57,872 | $ | 4,151 | |||||||
hedging instruments | |||||||||||
Total derivative assets | $ | 78,503 | $ | 292,144 | |||||||
Derivative Liabilities | |||||||||||
31-Dec-13 | 31-Dec-12 | ||||||||||
Balance Sheet Classification | Fair Value | Balance Sheet Classification | Fair Value | ||||||||
(in thousands) | |||||||||||
Derivatives designated as hedging | |||||||||||
instruments: | |||||||||||
Fixed price swaps | Other current liabilities | $ | 3,884 | Other current liabilities | $ | – | |||||
Total derivatives designated as hedging | $ | 3,884 | $ | – | |||||||
instruments | |||||||||||
Derivatives not designated as hedging | |||||||||||
instruments: | |||||||||||
Basis swaps | Other current liabilities | $ | 1,501 | Other current liabilities | $ | 138 | |||||
Fixed price swaps | Other current liabilities | 185 | Other current liabilities | – | |||||||
Fixed price call options | Other long-term liabilities | 30,388 | Other long-term liabilities | 4,128 | |||||||
Interest rate swaps | Other current liabilities | 1,520 | Other current liabilities | – | |||||||
Interest rate swaps | Other long-term liabilities | 3,012 | Other long-term liabilities | – | |||||||
Total derivatives not designated as | $ | 36,606 | $ | 4,266 | |||||||
hedging instruments | |||||||||||
Total derivative liabilities | $ | 40,490 | $ | 4,266 | |||||||
As of December 31, 2013, the Company had derivatives designated as cash flow hedges and derivatives not designated as hedges on the following volumes of natural gas production (in Bcf): | |||||||||||
Year | Fixed price swaps | Fixed price swaps not designated for hedge accounting | Total | ||||||||
2014 | 200.7 | 181.6 | 382.3 | ||||||||
Cash Flow Hedges | |||||||||||
The reporting of gains and losses on cash flow derivative hedging instruments depends on whether the gains or losses are effective at offsetting changes in the cash flows of the hedged item. The effective portion of the gains and losses on the derivative hedging instruments are recorded in other comprehensive income until recognized in earnings during the period that the hedged transaction takes place. The ineffective portion of the gains and losses from the derivative hedging instrument recognized in earnings immediately. | |||||||||||
As of December 31, 2013, the Company recorded a gain in accumulated other comprehensive income related to its hedging activities of $9.3 million net of a deferred income tax liability of $6.2 million. The amount recorded in accumulated other comprehensive income will be relieved over time and recognized in the statement of operations as the physical transactions being hedged occur. Assuming the market prices of natural gas futures as of December 31, 2013 remain unchanged, the Company would expect to transfer an aggregate after-tax net gain of approximately $9.3 million from accumulated other comprehensive income to earnings during the next 12 months. Gains or losses from derivative instruments designated as cash flow hedges are reflected as adjustments to natural gas sales in the consolidated statements of operations. Natural gas sales included a realized gain from settled contracts of $309.2 million for the year ended December 31, 2013 compared to a realized gain of $631.5 million for the year ended December 31, 2012. Volatility in net income, comprehensive income and accumulated other comprehensive income may occur in the future as a result of the Company’s derivative activities. | |||||||||||
The following tables summarize the before tax effect of all cash flow hedges on the consolidated financial statements for the years ended December 31, 2013 and 2012. | |||||||||||
Gain Recognized in Other Comprehensive Income | |||||||||||
Comprehensive Income | |||||||||||
(Effective Portion) | |||||||||||
For the years ended | |||||||||||
December 31, | |||||||||||
Derivative Instrument | 2013 | 2012 | |||||||||
(in thousands) | |||||||||||
Fixed price swaps | $ | 37,931 | $ | 178,660 | |||||||
Costless-collars | $ | – | $ | 39,247 | |||||||
Classification of Gain | Gain Reclassified from Accumulated Other Comprehensive Income into Earnings | ||||||||||
Reclassified from Accumulated | (Effective Portion) | ||||||||||
Other Comprehensive Income | For the years ended | ||||||||||
into Earnings | December 31, | ||||||||||
Derivative Instrument | (Effective Portion) | 2013 | 2012 | ||||||||
(in thousands) | |||||||||||
Fixed price swaps | Gas Sales | $ | 309,177 | $ | 413,410 | ||||||
Costless-collars | Gas Sales | $ | – | $ | 218,119 | ||||||
Gain (Loss) Recognized in Earnings | |||||||||||
(Ineffective Portion) | |||||||||||
Classification of Gain (Loss) | For the years ended | ||||||||||
Recognized in Earnings | December 31, | ||||||||||
Derivative Instrument | (Ineffective Portion) | 2013 | 2012 | ||||||||
(in thousands) | |||||||||||
Fixed price swaps | Gas Sales | $ | -1,652 | $ | 2,450 | ||||||
Costless-collars | Gas Sales | $ | – | $ | -24 | ||||||
Fair Value Hedges and Other Derivative Contracts | |||||||||||
For fair value hedges, the gain or loss on the derivative instrument as well as the offsetting gain or loss on the hedged item are recognized in earnings immediately. | |||||||||||
Although the Company’s basis swaps meet the objective of managing commodity price exposure, these trades are typically not entered into concurrent with the Company’s derivative instruments that qualify as cash flow hedges and therefore do not generally qualify for hedge accounting. Basis swap derivative instruments that are not designated for hedge accounting are recorded on the balance sheet at their fair values under derivative assets, other assets, other current liabilities, and other long-term liabilities, as applicable and all gains and losses related to these contracts are recognized immediately in the consolidated statements of operations as a component of gain (loss) on derivatives. | |||||||||||
As of December 31, 2013, the Company had basis swaps on natural gas production that were not designated for hedge accounting of 21.3 Bcf for 2014 and 0.9 Bcf for 2015. | |||||||||||
As of December 31, 2013, the Company had fixed price call options on 199.8 Bcf of 2015 natural gas production not designated for hedge accounting treatment and fixed price swaps of 181.6 Bcf of 2014 natural gas production not designated for hedge accounting. | |||||||||||
The Company is a party to interest rate swaps with counterparty banks. The interest rate swaps were entered into in order to mitigate the Company’s exposure to volatility in interest rates related to construction of its new corporate office complex. The interest rate swaps build to a notional amount of $170.0 million and expire on June 20, 2020. The Company did not designate the interest rate swaps for hedge accounting. Changes in the fair value of the interest rate swaps are included in gain (loss) on derivatives in the consolidated statements of operations. The Company had no interest rate swaps in 2012. | |||||||||||
The following tables summarizes the before tax effect of fair value hedges, fixed price call options and basis swaps that were not designated for hedge accounting, and fixed price swaps and interest rate swaps not designated for hedge accounting on the uncondensed consolidated statements of operations for the years ended December 31, 2013 and 2012. | |||||||||||
Gain (Loss) on Derivatives, | |||||||||||
net of settlement | |||||||||||
Recognized in Earnings | |||||||||||
Consolidated Statement of Operations | For the years ended | ||||||||||
Classification of Gain (Loss) on | December 31, | ||||||||||
Derivative Instrument | Derivatives, net of settlement | 2013 | 2012 | ||||||||
(in thousands) | |||||||||||
Basis swaps | Gain (Loss) on Derivatives | $ | 7,450 | $ | 766 | ||||||
Fixed price call options | Gain (Loss) on Derivatives | -26,259 | -4,128 | ||||||||
Fixed price swaps | Gain (Loss) on Derivatives | 37,197 | – | ||||||||
Fair value swaps | Gain (Loss) on Derivatives | – | 1,208 | ||||||||
Interest rate swaps | Gain (Loss) on Derivatives | 2,992 | – | ||||||||
Gain (Loss) | |||||||||||
on Derivatives, Settled (1) | |||||||||||
Recognized in Earnings | |||||||||||
Consolidated Statement of Operations | For the years ended | ||||||||||
Classification of Gain (Loss) | December 31, | ||||||||||
Derivative Instrument | on Derivatives, Settled (1) | 2013 | 2012 | ||||||||
(in thousands) | |||||||||||
Basis swaps | Gain (Loss) on Derivatives | $ | 4,772 | $ | 2,162 | ||||||
Fair value swaps | Gain (Loss) on Derivatives | – | -14,958 | ||||||||
Interest rate swaps | Gain (Loss) on Derivatives | -11 | – | ||||||||
(1) The Company calculates gain (loss) on derivatives, settled, as the summation of gains and losses on positions that have settled within the period. | |||||||||||
Reclassification_From_Accumula
Reclassification From Accumulated Other Comprehensive Income | 12 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Reclassification From Accumulated Other Comprehensive Income [Abstract] | ' | |||||||||||||||
Reclassification From Accumulated Other Comprehensive Income | ' | |||||||||||||||
(6) RECLASSIFICATIONS FROM ACCUMULATED OTHER COMPREHENSIVE INCOME | ||||||||||||||||
The following tables detail the components of accumulated other comprehensive income, amounts reclassified from accumulated other comprehensive income into earnings and the related tax effects for the year ended December 31, 2013: | ||||||||||||||||
For the year ended | ||||||||||||||||
31-Dec-13 | ||||||||||||||||
Gains and Losses on Cash Flow Hedges | Pension and Other Postretirement | Foreign Currency | Total | |||||||||||||
(in thousands) (1) | ||||||||||||||||
Beginning balance, December 31, 2012 | $ | 172,166 | $ | -22,311 | $ | -51 | $ | 149,804 | ||||||||
Other comprehensive income (loss) before reclassifications | 21,619 | – | -4,003 | 17,616 | ||||||||||||
Amounts reclassified (2) | -184,515 | 12,753 | – | -171,762 | ||||||||||||
Net current-period other comprehensive income (loss) | -162,896 | 12,753 | -4,003 | -154,146 | ||||||||||||
Ending balance, December 31, 2013 | $ | 9,270 | $ | -9,558 | $ | -4,054 | $ | -4,342 | ||||||||
-1 | All amounts are net of tax. | |||||||||||||||
-2 | See separate table below for details about these reclassifications. | |||||||||||||||
Details about Accumulated Other Comprehensive Income | Consolidated Statement of Operations Classification | |||||||||||||||
(in thousands) | ||||||||||||||||
Gains (losses) on cash flow hedges | ||||||||||||||||
Settlements | Gas sales | $ | 309,177 | |||||||||||||
Ineffectiveness | Gas sales | -1,652 | ||||||||||||||
Income before income taxes | 307,525 | |||||||||||||||
Provision for income taxes | 123,010 | |||||||||||||||
Net income | $ | 184,515 | ||||||||||||||
Pension and other postretirement | ||||||||||||||||
Amortization of prior service cost included in | General and administrative expenses | $ | -21,009 | |||||||||||||
net periodic pension cost (1) | ||||||||||||||||
Loss before income taxes | -21,009 | |||||||||||||||
Benefit for income taxes | -8,256 | |||||||||||||||
Net loss | $ | -12,753 | ||||||||||||||
Total reclassifications for the period | Net income | $ | 171,762 | |||||||||||||
-1 | Included in the computation of net periodic pension cost (see Note 12 for additional details). | |||||||||||||||
Fair_Value_Measurements
Fair Value Measurements | 12 Months Ended | |||||||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||||||
Fair Value Measurements [Abstract] | ' | |||||||||||||||||||||||||
Fair Value Measurements | ' | |||||||||||||||||||||||||
(7) FAIR VALUE MEASUREMENTS | ||||||||||||||||||||||||||
The carrying amounts and estimated fair values of the Company’s financial instruments as of December 31, 2013 and 2012 were as follows: | ||||||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | |||||||||||||||||||||||||
Carrying | Fair | Carrying | Fair | |||||||||||||||||||||||
Amount | Value | Amount | Value | |||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||||
Cash and cash equivalents | $ | 22,938 | $ | 22,938 | $ | 53,583 | $ | 53,583 | ||||||||||||||||||
Restricted cash | $ | – | $ | – | $ | 8,542 | $ | 8,542 | ||||||||||||||||||
Credit facility | $ | 282,900 | $ | 282,900 | $ | – | $ | – | ||||||||||||||||||
Senior notes | $ | 1,668,396 | $ | 1,795,935 | $ | 1,669,473 | $ | 1,917,005 | ||||||||||||||||||
Derivative instruments, net | $ | 38,013 | $ | 38,013 | $ | 287,878 | $ | 287,878 | ||||||||||||||||||
The carrying values of cash and cash equivalents, accounts receivable, accounts payable, other current assets and current liabilities on the consolidated balance sheets approximate fair value because of their short-term nature. For debt and derivative instruments, the following methods and assumptions were used to estimate fair value: | ||||||||||||||||||||||||||
Debt: The fair values of the Company’s senior notes were based on the market for the Company’s publicly-traded debt as determined based on yield of the Company’s 7.5% Senior Notes due 2018, which was 2.6% as of December 31, 2013 and 2.6% at December 31, 2012, and its 4.10% Senior Notes due 2022, which was 4.2% as of December 31, 2013. The carrying values of the borrowings under the Company’s unsecured Credit Facility approximate fair value because the interest rate is variable and reflective of market rates. The Company considers the fair value of its debt to be a Level 2 measurement on the fair value hierarchy. | ||||||||||||||||||||||||||
Derivative Instruments: The fair value of all derivative instruments is the amount at which the instrument could be exchanged currently between willing parties. The amounts are based on quoted market prices, best estimates obtained from counterparties and an option pricing model, when necessary, for price option contracts. | ||||||||||||||||||||||||||
GAAP establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. As presented in the tables below, this hierarchy consists of three broad levels: | ||||||||||||||||||||||||||
Level 1 valuations - | Consist of unadjusted quoted prices in active markets for identical assets and liabilities and have the highest priority. | |||||||||||||||||||||||||
Level 2 valuations - | Consist of quoted market information for the calculation of fair market value. | |||||||||||||||||||||||||
Level 3 valuations - | Consist of internal estimates and have the lowest priority. | |||||||||||||||||||||||||
The Company has classified its derivatives into these levels depending upon the data utilized to determine their fair values. The Company’s Level 2 fair value measurements include fixed-price and floating-price swaps and are estimated using third-party discounted cash flow calculations using the NYMEX futures index. The Company’s Level 3 fair value measurements include costless-collars, basis swaps and fixed price call options. The Company’s costless-collars and fixed price call options are valued using the Black-Scholes model, an industry standard option valuation model, and takes into account inputs such as contract terms, including maturity, and market parameters, including assumptions of the NYMEX futures index, interest rates, volatility and credit worthiness. The Company’s basis swaps are estimated using third party discounted cash flow calculations based upon forward commodity price curves. | ||||||||||||||||||||||||||
Inputs to the Black-Scholes model, including the volatility input, which is the significant unobservable input for Level 3 fair value measurements, are obtained from a third-party pricing source, with independent verification of most significant inputs on a monthly basis. An increase (decrease) in volatility would result in an increase (decrease) in fair value measurement, respectively. | ||||||||||||||||||||||||||
Assets and liabilities measured at fair value on a recurring basis are summarized below (in thousands): | ||||||||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||||||||
Fair Value Measurements Using: | ||||||||||||||||||||||||||
Quoted Prices | Significant | |||||||||||||||||||||||||
in Active | Other | Significant | ||||||||||||||||||||||||
Markets | Observable Inputs | Unobservable Inputs | Assets (Liabilities) | |||||||||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | at Fair Value | |||||||||||||||||||||||
Derivative assets | $ | – | $ | 65,538 | $ | 12,965 | $ | 78,503 | ||||||||||||||||||
Derivative liabilities | – | -8,601 | -31,889 | -40,490 | ||||||||||||||||||||||
Total | $ | – | $ | 56,937 | $ | -18,924 | $ | 38,013 | ||||||||||||||||||
31-Dec-12 | ||||||||||||||||||||||||||
Fair Value Measurements Using: | ||||||||||||||||||||||||||
Quoted Prices | Significant | |||||||||||||||||||||||||
in Active | Other | Significant | ||||||||||||||||||||||||
Markets | Observable Inputs | Unobservable Inputs | Assets (Liabilities) | |||||||||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | at Fair Value | |||||||||||||||||||||||
Derivative assets | $ | – | $ | 287,993 | $ | 4,151 | $ | 292,144 | ||||||||||||||||||
Derivative liabilities | – | – | -4,266 | -4,266 | ||||||||||||||||||||||
Total | $ | – | $ | 287,993 | $ | -115 | $ | 287,878 | ||||||||||||||||||
The table below presents reconciliations for the change in net fair value of derivative assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the years ended December 31, 2013 and 2012. The fair values of Level 3 derivative instruments are estimated using proprietary valuation models that utilize both market, observable and unobservable parameters. Level 3 instruments presented in the table consist of net derivatives valued using pricing models incorporating assumptions that, in the Company’s judgment, reflect reasonable assumptions a marketplace participant would have used as of December 31, 2013 and at December 31, 2012. | ||||||||||||||||||||||||||
Total net gains and losses for Level 3 derivatives for the years ended December 31, 2013 and 2012 are provided below: | ||||||||||||||||||||||||||
For the years ended | ||||||||||||||||||||||||||
December 31, | ||||||||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||||
Balance at beginning of period | $ | -115 | $ | 182,119 | ||||||||||||||||||||||
Total gains or losses (realized/unrealized): | ||||||||||||||||||||||||||
Included in earnings | -14,037 | 216,857 | ||||||||||||||||||||||||
Included in other comprehensive income | – | -178,847 | ||||||||||||||||||||||||
Purchases, issuances, and settlements: | ||||||||||||||||||||||||||
Purchases | – | – | ||||||||||||||||||||||||
Issuances | – | – | ||||||||||||||||||||||||
Settlements | -4,772 | -220,244 | ||||||||||||||||||||||||
Transfers into/out of Level 3 | – | – | ||||||||||||||||||||||||
Balance at end of period | $ | -18,924 | $ | -115 | ||||||||||||||||||||||
Change in unrealized gains included in earnings relating to derivatives still held as of December 31 | $ | -18,809 | $ | -3,362 | ||||||||||||||||||||||
Debt
Debt | 12 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Debt [Abstract] | ' | ||||||
Debt | ' | ||||||
(8) DEBT | |||||||
The components of debt as of December 31, 2013 and 2012 consisted of the following: | |||||||
2013 | 2012 | ||||||
(in thousands) | |||||||
Short-term debt: | |||||||
7.15% Senior Notes due 2018 | $ | 1,200 | $ | 1,200 | |||
Total short-term debt (1) | 1,200 | 1,200 | |||||
Long-term debt: | |||||||
Variable rate (1.64% and 2.20% at December 31, 2013 and December 31, 2012, | 282,900 | – | |||||
respectively) Credit Facility, expires December 2018 | |||||||
7.35% Senior Notes due 2017 | 15,000 | 15,000 | |||||
7.125% Senior Notes due 2017 | 25,000 | 25,000 | |||||
7.15% Senior Notes due 2018 | 28,200 | 29,400 | |||||
7.5% Senior Notes due 2018 | 600,000 | 600,000 | |||||
4.10% Senior Notes due 2022 | 1,000,000 | 1,000,000 | |||||
Unamortized discount | -1,004 | -1,127 | |||||
Total long-term debt | 1,950,096 | 1,668,273 | |||||
Total debt | $ | 1,951,296 | $ | 1,669,473 | |||
(1) Short-term debt is included in Other current liabilities. | |||||||
The following is a summary of scheduled long-term debt maturities by year as of December 31, 2013 (in thousands): | |||||||
2015 | 1,200 | ||||||
2016 | 1,200 | ||||||
2017 | 41,200 | ||||||
2018 | 907,500 | ||||||
Thereafter | 1,000,000 | ||||||
$ | 1,951,100 | ||||||
Credit Facility | |||||||
On December 16, 2013, the Company entered into a Credit Agreement (“Credit Facility”), that exchanged our previous revolving credit facility. Under the Credit Facility, we have a borrowing capacity of $2.0 billion. The Credit Facility has a maturity date of December 2018 and options for two one-year extensions with participating lender approval. The amount available under the Credit Facility may be increased by $500.0 million upon the Company’s agreement with its participating lenders. The interest rate on the Credit Facility is calculated based upon our credit rating and is currently 150 basis points over the current London Interbank Offered Rate, or LIBOR. The borrowing rate on our previous revolving credit facility was 200 basis points over LIBOR as of December 31, 2012 and throughout 2013 until it was exchanged. The Credit Facility is unsecured and is not guaranteed by any subsidiaries of the Company. Contemporaneously with the execution of the Credit Agreement, on December 16, 2013, the Company obtained subsidiary guarantee releases under the 7.15%, 7.5%, 7.35%, 7.125% and 4.10% Senior Notes and our former credit facility. The Credit Facility contains covenants which impose certain restrictions on the Company, including a financial covenant whereby the Company may not issue total debt in excess of 60% of its total adjusted book capital. This financial covenant with respect to capitalization percentages excludes the noncontrolling interest in equity, the effects of non-cash entries that result from any full cost ceiling impairments (beginning in the year ended December 31, 2011), certain hedging activities and our pension and other postretirement liabilities. As of December 31, 2013, the Company was in compliance with the covenants of its Credit Facility and other debt agreements. Although the Company believes all of the lenders under the Credit Facility have the ability to provide funds, it cannot predict whether each will be able to meet its obligation under the facility. | |||||||
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2013 | |
Commitments and Contingencies [Abstract] | ' |
Commitments and Contingencies | ' |
(9) COMMITMENTS AND CONTINGENCIES | |
Operating Commitments and Contingencies | |
The Company has commitments to third parties for demand transportation charges. As of December 31, 2013, future payments under non-cancelable firm transportation charges are approximately $362.8 million in 2014, $399.2 million in 2015, $413.2 million in 2016, $375.7 million in 2017, $363.3 million in 2018 and $1,594.7 million thereafter. | |
The Company has 11 leases for pressure pumping equipment for its E&P operations under leases that expire between December 1, 2017 and January 1, 2018. The Company’s current aggregate annual payment under the leases is approximately $7.5 million. The lease payments for the pressure pumping equipment, as well as other operating expenses for the Company’s drilling operations, are capitalized to natural gas and oil properties and are partially offset by billings to third-party working interest owners for their share of fracture stage charges. | |
The Company leases compressors, aircraft, vehicles, office space and equipment under non-cancelable operating leases expiring through 2027. As of December 31, 2013, future minimum payments under these non-cancelable leases accounted for as operating leases are approximately $65.2 million in 2014, $55.9 million in 2015, $44.6 million in 2016, $27.8 million in 2017, $10.8 million in 2018 and $24.9 million thereafter. The Company also has commitments for compression services related to its Midstream Services and E&P segments. As of December 31, 2013, future minimum payments under these non-cancelable agreements are approximately $38.6 million in 2014, $24.5 million in 2015, $17.2 million in 2016, $9.2 million in 2017, $3.7 million in 2018 and $0.7 million thereafter. | |
In response to the Company’s well performance, SES and SEPCO entered into new and amended natural gas transportation and gathering arrangements with third party pipelines during the second quarter of 2013 in support of the Company’s production in the Marcellus Shale. As of December 31, 2013, the Company’s obligations for demand and similar charges under the firm transportation agreements and gathering agreements totaled approximately $3.5 billion and the Company has guarantee obligations of up to $100.0 million of that amount. | |
In 2013, we started construction on a corporate office complex located in Spring, Texas on 26 acres of commercial land that we purchased in 2012. The Company financed the construction of this complex through a construction agreement and lease arrangement. We are currently obligated for the construction costs incurred, which approximated $38 million at December 31, 2013. Upon completion of construction, a lease term of approximately five years will commence. | |
In the first quarter of 2010, the Company was awarded exclusive licenses by the Province of New Brunswick in Canada to conduct an exploration program covering approximately 2.5 million acres in the province. The licenses require the Company to make certain capital investments in New Brunswick of approximately $47.0 million Canadian dollars in the aggregate over the license periods. In order to obtain the licenses, the Company provided promissory notes payable on demand to the Minister of Finance of the Province of New Brunswick with an aggregate principal amount of $44.5 million Canadian dollars. The promissory notes secure the Company's capital expenditure obligations under the licenses and are returnable to the Company to the extent the Company performs such obligations. If the Company fails to fully perform, the Minister of Finance may retain a portion of the applicable promissory notes in an amount equal to any deficiency. The Company commenced its Canada exploration program in 2010 and, as of December 31, 2013 has invested $39.2 million Canadian dollars, or $36.9 million USD, in New Brunswick towards the Company’s commitment. In December 2012, the Company received two one-year extensions to our exploration licenses which expire on March 2014 and March 2015, respectively. No liability has been recognized in connection with the promissory notes due to the Company’s investments in New Brunswick as of December 31, 2013 and its future investment plans. | |
Environmental Risk | |
The Company is subject to laws and regulations relating to the protection of the environment. Environmental and cleanup related costs of a non-capital nature are accrued when it is both probable that a liability has been incurred and when the amount can be reasonably estimated. Management believes any future remediation or other compliance related costs will not have a material effect on the financial position or results of operations of the Company. | |
Litigation | |
Tovah Energy | |
In February 2009, SEPCO was added as a defendant in a case then styled Tovah Energy, LLC and Toby Berry-Helfand v. David Michael Grimes, et, al., pending in the 273rd District Court in Shelby County, Texas. By the time of trial in December 2010, Ms. Berry-Helfand (the only remaining plaintiff) alleged that, in 2005, she provided SEPCO with proprietary data regarding two prospects in the James Lime formation pursuant to a confidentiality agreement and that SEPCO refused to return the proprietary data to the plaintiff, subsequently acquired leases based upon such proprietary data and profited therefrom. Among other things, she alleged various statutory and common law claims, including, but not limited to, claims of misappropriation of trade secrets, violation of the Texas Theft Liability Act, breach of fiduciary duty and confidential relationships, various fraud based claims and breach of contract, including a claim of breach of a purported right of first refusal on all interests acquired by SEPCO between February 2005 and February 2006. She also sought disgorgement of SEPCO’s profits. A former associate of the plaintiff intervened in the matter claiming to have helped develop the prospect years earlier. | |
The jury found in favor of the plaintiff and the intervenor with respect to all of the statutory and common law claims and awarded $11.4 million in compensatory damages but no special, punitive or other damages. Separately, the jury determined that SEPCO’s profits for purposes of disgorgement, if ordered as a remedy, were $381.5 million. (Disgorgement of profits is an equitable remedy determined by the judge, and it is within the judge’s discretion to award none, some or all of unlawfully obtained profits.) In August 2011, a judgment was entered pursuant to which the plaintiff and the intervenor were entitled to recover approximately $11.4 million in actual damages and approximately $23.9 million in disgorgement as well as prejudgment interest and attorneys’ fees, which currently are estimated to be up to $8.9 million, and all costs of court of the plaintiff and intervenor. | |
Both sides appealed and in July 2013, the Tyler Court of Appeals ordered that (1) the judgment awarding the plaintiff and the intervenor $23.9 million as disgorgement of illicit gains be reversed and judgment rendered that they take nothing, (2) the award of $11.4 million for actual damages, insofar as it is based on the jury’s findings of breach of fiduciary duty, fraud, breach of contract, and theft of trade secret is reversed and judgment rendered that the plaintiff and the intervenor take nothing under those theories of recovery, (3) the award of $11.4 million to the plaintiff and the intervenor as damages for misappropriation of trade secret is affirmed, (4) the case be remanded to the trial court for a determination and award of attorney’s fees for SEPCO as the prevailing party under the Texas Theft Liability Act, and (5) in all other respects, the judgment is affirmed. All parties petitioned for rehearing. The Tyler Court of Appeals denied rehearing in November 2013. | |
SEPCO filed a petition for review in the Supreme Court of Texas in February 2014. The plaintiff and the intervenor have until March 2014 to file petitions for review. Based on the Company’s understanding and judgment of the facts and merits of this case, including appellate matters, and after considering the advice of counsel, the Company has determined that, although reasonably possible, a materially adverse final outcome to this action is not probable. As such, the Company has not accrued any amounts with respect to this action. If the plaintiff and the intervenor were to prevail ultimately in the appellate process, the Company currently estimates, based on the judgments to date, that SEPCO’s potential liability would be up to $45.5 million, including interest and attorney’s fees. If the Supreme Court declines to hear the case or affirms all aspects of the court of appeals’ judgment, then SEPCO would owe the $11.4 million in damages, plus interest and attorneys fees, offset by any award of attorneys’ fees for its prevailing on the theft count. The Company’s assessment may change in the future due to occurrence of certain events, such as the result of the petition or petitions for review at the Supreme Court of Texas, and such a re-assessment could lead to the determination that the potential liability is probable and could be material to the Company’s results of operations, financial position or cash flows. | |
Bureau of Land Management | |
In March 2010, the Company’s subsidiary SEECO was served with a subpoena from a federal grand jury in Little Rock, Arkansas. Based on the documents requested under the subpoena and subsequent discussions with representatives of the Bureau of Land Management and the U.S. Attorney, the Company believed the grand jury was investigating matters involving approximately 27 horizontal wells operated by SEECO in Arkansas, including whether appropriate leases or permits were obtained therefrom and whether royalties and other production attributable to federal lands were properly accounted for and paid. In January 2014, the U.S. Attorney’s office informed SEECO’s outside counsel that no criminal charges will be brought. Two wells were drilled, in part, through federal lands without having obtained leases at the time of drilling, and SEECO has paid full royalties as if those leases were in place from first production of the wells. The Government has made a formal demand for additional damages for trespass; however, because these actions were not deliberate and SEECO voluntarily reported this to the Bureau of Land Management at the time the error was discovered, the Company does not believe additional damages should be assessable or that such additional damages, if any, would be material. | |
Other | |
The Company is subject to various litigation, claims and proceedings that have arisen in the ordinary course of business, such as for alleged breaches of contract, miscalculation of royalties and pollution, contamination or nuisance. Management believes that such litigation, claims and proceedings, individually or in aggregate and after taking into account insurance, are not likely to have a material adverse impact on our financial position, results of operations or cash flows. Many of these matters are in early stages, so the allegations and the damage theories have not been fully developed, and all subject to inherent uncertainties; therefore, management’s view may change in the future. If an unfavorable final outcome were to occur, there exists the possibility of a material impact on the Company’s financial position, results of operations or cash flows for the period in which the effect becomes reasonably estimable. The Company accrues for such items when a liability is both probable and the amount can be reasonably estimated. | |
Indemnifications | |
The Company provides certain indemnifications in relation to dispositions of assets. These indemnifications typically relate to disputes, litigation or tax matters existing at the date of disposition. No liability has been recognized in connection with these indemnifications. | |
Income_Taxes
Income Taxes | 12 Months Ended | |||||||||
Dec. 31, 2013 | ||||||||||
Income Taxes [Abstract] | ' | |||||||||
Income Taxes | ' | |||||||||
(10) INCOME TAXES | ||||||||||
The provision (benefit) for income taxes included the following components: | ||||||||||
2013 | 2012 | 2011 | ||||||||
(in thousands) | ||||||||||
Current: | ||||||||||
Federal | $ | -12,151 | $ | 15,500 | $ | 3,378 | ||||
State | 1,080 | 3,189 | 820 | |||||||
-11,071 | 18,689 | 4,198 | ||||||||
Deferred: | ||||||||||
Federal | 409,359 | -388,209 | 345,922 | |||||||
State | 87,823 | -71,582 | 60,941 | |||||||
Foreign | 763 | -2,037 | 2,160 | |||||||
497,945 | -461,828 | 409,023 | ||||||||
Provision (benefit) for income taxes | $ | 486,874 | $ | -443,139 | $ | 413,221 | ||||
The provision for income taxes was an effective rate of 40.9% in 2013, 38.5% in 2012 and 39.3% 2011. The following reconciles the provision for income taxes included in the consolidated statements of operations with the provision which would result from application of the statutory federal tax rate to pre-tax financial income: | ||||||||||
2013 | 2012 | 2011 | ||||||||
(in thousands) | ||||||||||
Expected provision (benefit) at federal statutory rate | $ | 416,632 | $ | -402,571 | $ | 367,854 | ||||
Increase (decrease) resulting from: | ||||||||||
State income taxes, net of federal income tax effect | 53,130 | -44,454 | 40,145 | |||||||
Nondeductible expenses | 3,404 | 2,100 | 1,244 | |||||||
Other | 13,708 | 1,786 | 3,978 | |||||||
Provision (benefit) for income taxes | $ | 486,874 | $ | -443,139 | $ | 413,221 | ||||
The components of the Company’s net deferred tax liability as of December 31, 2013 and 2012 were as follows: | ||||||||||
2013 | 2012 | |||||||||
(in thousands) | ||||||||||
Deferred tax liabilities: | ||||||||||
Differences between book and tax basis of property | $ | 2,114,685 | $ | 1,441,149 | ||||||
Cash flow hedges | 13,171 | 112,625 | ||||||||
Other | 10,715 | 4,460 | ||||||||
2,138,571 | 1,558,234 | |||||||||
Deferred tax assets: | ||||||||||
Accrued compensation | 15,718 | 16,387 | ||||||||
Alternative minimum tax credit carryforward | 76,864 | 89,016 | ||||||||
Stored natural gas | 9,272 | 7,812 | ||||||||
Accrued pension costs | 1,821 | 7,686 | ||||||||
Asset retirement obligations | 53,419 | 39,249 | ||||||||
Net operating loss carryforward | 411,994 | 217,276 | ||||||||
Differences between book and tax basis of property - state | 11,045 | 16,872 | ||||||||
Other | 7,405 | 12,354 | ||||||||
587,538 | 406,652 | |||||||||
Net deferred tax liability | $ | 1,551,033 | $ | 1,151,582 | ||||||
The net deferred tax liability as of December 31, 2013 was comprised of net long-term deferred income tax liabilities of $1,526.7 million in addition to a net current deferred income tax liability of $24.3 million. The net deferred tax liability at December 31, 2012 was comprised of net long-term deferred income tax liabilities of $1,045.5 million, in addition to a net current deferred income tax liability of $106.1 million. In 2013, the Company paid $3.3 million in state income taxes and paid $15.5 million in federal income taxes. In 2012, the Company paid $0.8 million in state income taxes and did not pay any alternative minimum taxes. The Company’s net operating loss carryforward as of December 31, 2013 was $1,174.7 million and $878.0 million for federal and state reporting purposes, respectively, the majority of which will expire between 2028 and 2032. In 2013 the Company recorded a $2.9 million valuation allowance against our deferred tax asset for various state net operating losses. The Company also had an alternative minimum tax credit carryforward of $76.9 million and a statutory depletion carryforward of $12.9 million as of December 31, 2013. | ||||||||||
Our effective tax rate increased in 2013 as compared with 2012. This was primarily due to a redetermination of the deferred state tax liability to reflect updated state apportionment factors in certain higher-rate states and the recording of a valuation allowance against a portion of our deferred tax asset for state net operating losses. | ||||||||||
Deferred tax assets relating to tax benefits of employee stock option grants have been reduced to reflect exercises in 2012. Some exercises resulted in tax deductions in excess of previously recorded benefits based on the option value at the time of the grant (“windfalls”). Although these additional tax benefits or “windfalls” are reflected in net operating loss carryforwards, pursuant to GAAP, the additional tax benefit associated with the windfall is not recognized until the deduction reduces taxes payable. Accordingly, since the tax benefit does not reduce our current taxes payable in 2013 due to net operating loss carryforwards, these “windfall” tax benefits are not reflected in our net operating losses in deferred tax assets for 2013. Windfalls included in net operating loss carryforwards but not reflected in deferred tax assets for 2013 were $131.3 million. | ||||||||||
As of December 31, 2013, the Company has no unrecognized tax benefits. The income tax years 2010 to 2013 remain open to examination by the major taxing jurisdictions to which the Company is subject. | ||||||||||
The Company has an income tax net operating loss carryforward related to its Canadian operations of $22.3 million, and has expiration dates of 2030 through 2033. The Company assesses the available positive and negative evidence to estimate if sufficient future taxable income will be generated to utilize the existing deferred tax asset associated with the Canadian net operating loss. Based on this assessment, the Company did not record a valuation allowance as of December 31, 2013. | ||||||||||
Asset_Retirement_Obligation
Asset Retirement Obligation | 12 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Asset Retirement Obligation [Abstract] | ' | ||||||
Asset Retirement Obligation | ' | ||||||
(11) ASSET RETIREMENT OBLIGATIONS | |||||||
The following table summarizes the Company’s 2013 and 2012 activity related to asset retirement obligations: | |||||||
2013 | 2012 | ||||||
(in thousands) | |||||||
Asset retirement obligation at January 1 | $ | 100,637 | $ | 37,693 | |||
Accretion of discount | 5,643 | 2,394 | |||||
Obligations incurred | 22,241 | 23,327 | |||||
Obligations settled/removed | -2,341 | -8,804 | |||||
Revisions of estimates | 7,366 | 46,027 | |||||
Asset retirement obligation at December 31 | $ | 133,546 | $ | 100,637 | |||
Current liability | 5,549 | 4,091 | |||||
Long-term liability | 127,997 | 96,546 | |||||
Asset retirement obligation at December 31 | $ | 133,546 | $ | 100,637 | |||
In 2012, the Company recorded a correction to increase the asset retirement obligation by approximately $39 million, the effect of which was immaterial to the Company’s financial statements in all affected periods. | |||||||
Retirement_and_Employee_Benefi
Retirement and Employee Benefit Plans | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
Retirement and Employee Benefit Plans [Abstract] | ' | |||||||||||||||||||
Retirement and Employee Benefits Plans | ' | |||||||||||||||||||
(12) RETIREMENT AND EMPLOYEE BENEFIT PLANS | ||||||||||||||||||||
401(k) Defined Contribution Plan | ||||||||||||||||||||
The Company has a 401(k) defined contribution plan covering eligible employees. The Company expensed $2.5 million, $2.2 million and $1.9 million of contribution expense in 2013, 2012 and 2011, respectively. Additionally, the Company capitalized $2.9 million, $2.8 million and $3.8 million of contributions in 2013, 2012 and 2011, respectively, directly related to the acquisition, exploration and development activities of the Company’s natural gas and oil properties or directly related to the construction of the Company’s gathering systems. | ||||||||||||||||||||
Defined Benefit Pension and Other Postretirement Plans | ||||||||||||||||||||
Prior to January 1, 1998, the Company maintained a traditional defined benefit plan with benefits payable based upon average final compensation and years of service. Effective January 1, 1998, the Company amended its pension plan to become a “cash balance” plan on a prospective basis for its non-bargaining employees. A cash balance plan provides benefits based upon a fixed percentage of an employee’s annual compensation. The Company’s funding policy is to contribute amounts which are actuarially determined to provide the plans with sufficient assets to meet future benefit payment requirements and which are tax deductible. | ||||||||||||||||||||
The postretirement benefit plan provides contributory health care and life insurance benefits. Employees become eligible for these benefits if they meet age and service requirements. Generally, the benefits paid are a stated percentage of medical expenses reduced by deductibles and other coverages. | ||||||||||||||||||||
Substantially all employees are covered by the Company’s defined benefit pension and postretirement benefit plans. The Company accounts for its defined benefit pension and other postretirement plans by recognizing the funded status of each defined pension benefit plan and other postretirement benefit plan on the Company’s balance sheet. In the event a plan is overfunded, the Company recognizes an asset. Conversely, if a plan is underfunded, the Company recognizes a liability. | ||||||||||||||||||||
The following provides a reconciliation of the changes in the plans’ benefit obligations, fair value of assets, and funded status as of December 31, 2013 and 2012: | ||||||||||||||||||||
Other Postretirement | ||||||||||||||||||||
Pension Benefits | Benefits | |||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||
(in thousands) | ||||||||||||||||||||
Change in benefit obligations: | ||||||||||||||||||||
Benefit obligation at January 1 | $ | 105,432 | $ | 81,738 | $ | 11,464 | $ | 6,793 | ||||||||||||
Service cost | 13,789 | 10,942 | 2,296 | 1,832 | ||||||||||||||||
Interest cost | 4,104 | 4,050 | 441 | 398 | ||||||||||||||||
Participant contributions | – | – | 24 | 21 | ||||||||||||||||
Actuarial loss | -11,107 | 14,981 | -1,706 | 2,525 | ||||||||||||||||
Benefits paid | -8,492 | -6,951 | -139 | -105 | ||||||||||||||||
Plan amendments | – | 672 | – | – | ||||||||||||||||
Settlements | -520 | – | – | – | ||||||||||||||||
Benefit obligation at December 31 | $ | 103,206 | $ | 105,432 | $ | 12,380 | $ | 11,464 | ||||||||||||
Other Postretirement | ||||||||||||||||||||
Pension Benefits | Benefits | |||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||
(in thousands) | ||||||||||||||||||||
Change in plan assets: | ||||||||||||||||||||
Fair value of plan assets at January 1 | $ | 83,347 | $ | 68,023 | $ | – | $ | – | ||||||||||||
Actual return on plan assets | 12,471 | 11,191 | – | – | ||||||||||||||||
Employer contributions | 12,520 | 11,084 | 115 | 84 | ||||||||||||||||
Participant contributions | – | – | 24 | 21 | ||||||||||||||||
Benefits paid | -8,492 | -6,951 | -139 | -105 | ||||||||||||||||
Settlements | -507 | – | – | – | ||||||||||||||||
Fair value of plan assets at December 31 | $ | 99,339 | $ | 83,347 | $ | – | $ | – | ||||||||||||
Funded status of plans at December 31 | $ | -3,867 | $ | -22,085 | $ | -12,380 | $ | -11,464 | ||||||||||||
The Company uses a December 31 measurement date for all of its plans and had liabilities recorded for the underfunded status for each period as presented above. | ||||||||||||||||||||
The change in accumulated other comprehensive income related to the pension plans was a gain of $19.2 million ($11.6 million after tax) for the year ended December 31, 2013 and a loss of $8.4 million ($5.0 million after tax) for the year ended December 31, 2012. The change in accumulated other comprehensive income related to the other postretirement benefit plan was a gain of $1.8 million ($1.1 million after tax) for the year ended December 31, 2013 and was a loss of $2.4 million ($1.4 million after tax) for the year ended December 31, 2012. Included in accumulated other comprehensive income as of December 31, 2013 and 2012 was a $15.9 million loss ($9.6 million net of tax) and a $36.9 million loss ($22.3 million net of tax), respectively, related to the Company’s pension and other postretirement benefit plans. For the year ended December 31, 2013, amortization of prior period service cost included in net periodic pension cost of $21.0 million was reclassified from accumulated other comprehensive income to general and administrative expenses. | ||||||||||||||||||||
The amounts in accumulated other comprehensive income that are expected to be recognized as components of net periodic benefit cost during 2014 are $0.1 million for prior service costs and $0.2 million net loss. | ||||||||||||||||||||
The pension plans’ projected benefit obligation, accumulated benefit obligation and fair value of plan assets as of December 31, 2013 and 2012 are as follows: | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Projected benefit obligation | $ | 103,206 | $ | 105,432 | ||||||||||||||||
Accumulated benefit obligation | $ | 100,208 | $ | 100,379 | ||||||||||||||||
Fair value of plan assets | $ | 99,339 | $ | 83,347 | ||||||||||||||||
Pension and other postretirement benefit costs include the following components for 2013, 2012 and 2011: | ||||||||||||||||||||
Other Postretirement | ||||||||||||||||||||
Pension Benefits | Benefits | |||||||||||||||||||
2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||
(in thousands) | ||||||||||||||||||||
Service cost | $ | 13,789 | $ | 10,942 | $ | 9,323 | $ | 2,296 | $ | 1,832 | $ | 1,354 | ||||||||
Interest cost | 4,104 | 4,050 | 3,671 | 441 | 398 | 252 | ||||||||||||||
Expected return on plan assets | -6,136 | -5,426 | -4,398 | – | – | – | ||||||||||||||
Amortization of transition | – | – | – | – | 64 | 64 | ||||||||||||||
obligation | ||||||||||||||||||||
Amortization of prior service cost | 103 | 286 | 344 | 14 | 14 | 14 | ||||||||||||||
Amortization of net loss | 1,541 | 1,220 | 856 | 120 | 93 | 11 | ||||||||||||||
Net periodic benefit cost | 13,401 | 11,072 | 9,796 | 2,871 | 2,401 | 1,695 | ||||||||||||||
Settlements and curtailments | 70 | – | – | – | – | – | ||||||||||||||
Total benefit cost | $ | 13,471 | $ | 11,072 | $ | 9,796 | $ | 2,871 | $ | 2,401 | $ | 1,695 | ||||||||
Amounts recognized in other comprehensive income for the year ended December 31, 2013 were as follows: | ||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | |||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Net actuarial gain arising during the year | $ | 17,454 | $ | 1,706 | ||||||||||||||||
Amortization of prior service cost | 104 | 14 | ||||||||||||||||||
Amortization of net loss | 1,541 | 120 | ||||||||||||||||||
Settlements | 70 | – | ||||||||||||||||||
Tax effect | -7,535 | -721 | ||||||||||||||||||
$ | 11,634 | $ | 1,119 | |||||||||||||||||
The assumptions used in the measurement of the Company’s benefit obligations as of December 31, 2013 and 2012 are as follows: | ||||||||||||||||||||
Pension Benefits | Other Postretirement | |||||||||||||||||||
Benefits | ||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||
Discount rate | 5.00 | % | 4.00 | % | 5.00 | % | 4.00 | % | ||||||||||||
Rate of compensation increase | 4.50 | % | 4.50 | % | n/a | n/a | ||||||||||||||
The assumptions used in the measurement of the Company’s net periodic benefit cost for 2013, 2012 and 2011 are as follows: | ||||||||||||||||||||
Pension Benefits | Other Postretirement | |||||||||||||||||||
Benefits | ||||||||||||||||||||
2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||
Discount rate | 4.00 | % | 5.00 | % | 5.50 | % | 4.00 | % | 5.00 | % | 5.50 | % | ||||||||
Expected return on plan assets | 7.00 | % | 7.50 | % | 7.50 | % | n/a | n/a | n/a | |||||||||||
Rate of compensation increase | 4.50 | % | 4.50 | % | 4.50 | % | n/a | n/a | n/a | |||||||||||
The expected return on plan assets for the various benefit plans is based upon a review of the historical returns experienced, combined with the future expected returns based upon the asset allocation strategy employed. The plans seek to achieve an adequate return to fund the obligations in a manner consistent with the federal standards of the Employee Retirement Income Security Act and with a prudent level of diversification. | ||||||||||||||||||||
For measurement purposes, the following trend rates were assumed for 2013 and 2012: | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Health care cost trend assumed for next year | 8 | % | 8 | % | ||||||||||||||||
Rate to which the cost trend is assumed to decline | 5 | % | 5 | % | ||||||||||||||||
Year that the rate reaches the ultimate trend rate | 2032 | 2031 | ||||||||||||||||||
Assumed health care cost trend rates have a significant effect on the amounts for the health care plans. A one percentage point change in assumed health care cost trend rates would have the following effects: | ||||||||||||||||||||
1% | 1% | |||||||||||||||||||
Increase | Decrease | |||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Effect on the total service and interest cost components | $ | 457 | $ | -373 | ||||||||||||||||
Effect on postretirement benefit obligations | $ | 1,693 | $ | -1,413 | ||||||||||||||||
Pension Payments and Asset Management | ||||||||||||||||||||
In 2013, the Company contributed $12.5 million to its pension plans and $0.1 million to its other postretirement benefit plan. The Company expects to contribute $12.0 million to its pension plans and $0.4 million to its other postretirement benefit plan in 2014. No plan assets are expected to be returned to the Company during the next twelve months. | ||||||||||||||||||||
The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid: | ||||||||||||||||||||
Pension Benefits | Other | |||||||||||||||||||
Postretirement | ||||||||||||||||||||
Benefits | ||||||||||||||||||||
(in thousands) | ||||||||||||||||||||
2014 | $ | 6,384 | $ | 404 | ||||||||||||||||
2015 | $ | 6,280 | $ | 542 | ||||||||||||||||
2016 | $ | 8,075 | $ | 730 | ||||||||||||||||
2017 | $ | 8,553 | $ | 801 | ||||||||||||||||
2018 | $ | 9,517 | $ | 994 | ||||||||||||||||
Years 2019-2023 | $ | 58,894 | $ | 7,545 | ||||||||||||||||
The Company’s overall investment strategy is to provide an adequate pool of assets to support both the long-term growth of plan assets and to ensure adequate liquidity exists for the near-term benefit payment of obligations to participants, retirees and beneficiaries. The Benefits Administration Committee of the Company administers the Company’s pension plan assets. The Benefits Administration Committee believes long-term investment performance is a function of asset-class mix and restricts the composition of pension plan assets to a combination of cash and cash equivalents, domestic equity markets, international equity markets or investment grade fixed income assets. | ||||||||||||||||||||
The table below presents the allocations targeted by the Benefits Administration Committee and the actual weighted-average asset allocation of the Company’s pension plan as of December 31, 2013, by asset category. The asset allocation targets are subject to change and the Benefits Administration Committee allows for its actual allocations to deviate from target as a result of current and anticipated market conditions. Plan assets are periodically balanced whenever the allocation to any asset class falls outside of the specified range. | ||||||||||||||||||||
Pension Plan Asset | ||||||||||||||||||||
Allocations | ||||||||||||||||||||
Asset category: | Target | Actual | ||||||||||||||||||
U.S. Equity(1) | 35 | % | 36 | % | ||||||||||||||||
Non-U.S. Developed Equity(2) | 30 | % | 31 | % | ||||||||||||||||
Emerging Markets Equity(3) | 5 | % | 6 | % | ||||||||||||||||
Opportunistic(4) | – | % | – | % | ||||||||||||||||
Fixed income(5) | 29 | % | 26 | % | ||||||||||||||||
Cash(6) | 1 | % | 1 | % | ||||||||||||||||
Total | 100 | % | 100 | % | ||||||||||||||||
(1) Asset category above includes the following equity securities in the table below: U.S large cap growth equity, U.S. large cap value equity, U.S. large | ||||||||||||||||||||
cap core equity, and U.S. small cap equity. | ||||||||||||||||||||
(2) Asset category above includes Non-U.S. equity securities in the table below. | ||||||||||||||||||||
(3) Asset category above includes Emerging markets equity securities below. | ||||||||||||||||||||
(4) Asset category above includes none of the securities in the table below. | ||||||||||||||||||||
(5) Asset category above includes Fixed income pension plan assets in the table below. | ||||||||||||||||||||
(6) Asset category above includes Cash and cash equivalents pension plan assets in the table below. | ||||||||||||||||||||
Utilizing GAAP’s fair value hierarchy, the Company’s fair value measurement of pension plan assets as of December 31, 2013 are as follows: | ||||||||||||||||||||
Asset category: | Total | Quoted Prices in Active Markets for Identical Assets | Significant Observable Inputs | Significant Unobservable Inputs | ||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | ||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Equity securities: | ||||||||||||||||||||
U.S. large cap growth equity(1) | $ | 7,660 | $ | 7,660 | $ | – | $ | – | ||||||||||||
U.S. large cap value equity(2) | 8,174 | 8,174 | – | – | ||||||||||||||||
U.S. large cap core equity(3) | 16,438 | – | 16,438 | – | ||||||||||||||||
U.S. small cap equity(4) | 3,245 | 3,245 | – | – | ||||||||||||||||
Non-U.S. equity(5) | 30,628 | 30,628 | – | – | ||||||||||||||||
Emerging markets equity(6) | 6,374 | – | 6,374 | – | ||||||||||||||||
Fixed income (7) | 25,523 | – | 25,523 | – | ||||||||||||||||
Cash and cash equivalents | 1,296 | 1,296 | – | – | ||||||||||||||||
Total | $ | 99,338 | $ | 51,003 | $ | 48,335 | $ | – | ||||||||||||
(1)Mutual fund that seeks to invest in a diversified portfolio of stocks with price appreciation growth opportunities. | ||||||||||||||||||||
(2)Mutual fund that seeks to invest in a diversified portfolio of stocks that will increase in value over the long-term as well as provide current income. | ||||||||||||||||||||
(3)An institutional fund that seeks to replicate the performance of the S&P 500 Index before fees. | ||||||||||||||||||||
(4)Mutual fund that seeks to invest in a diversified portfolio of stocks with small market capitalizations. | ||||||||||||||||||||
(5)Mutual funds that invest primarily in equity securities of companies domiciled outside of the United States, primarily in developed markets. | ||||||||||||||||||||
(6)An institutional fund that invests primarily in the equity securities of companies domiciled in emerging markets. | ||||||||||||||||||||
(7)Institutional funds that seek an investment return that approximates, as closely as practicable, before expenses, the performance of the Barclays U.S. Intermediate Credit Bond Index over the long term and the Barclays Long U.S. Corporate Bond Index over the long-term. | ||||||||||||||||||||
Utilizing GAAP’s fair value hierarchy, the Company’s fair value measurement of pension plan assets at December 31, 2012 are as follows: | ||||||||||||||||||||
Asset category: | Total | Quoted Prices in Active Markets for Identical Assets | Significant Observable Inputs | Significant Unobservable Inputs | ||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | ||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Equity securities: | ||||||||||||||||||||
U.S. large cap growth equity(1) | $ | 4,588 | $ | 4,588 | $ | – | $ | – | ||||||||||||
U.S. large cap value equity(2) | 5,257 | 5,257 | – | – | ||||||||||||||||
U.S. large cap core equity(3) | 11,564 | – | 11,564 | – | ||||||||||||||||
U.S. small cap equity(4) | 2,792 | 2,792 | – | – | ||||||||||||||||
Non-U.S. equity(5) | 21,891 | 21,891 | – | – | ||||||||||||||||
Emerging markets equity(6) | 4,454 | – | 4,454 | – | ||||||||||||||||
Fixed income (7) | 31,021 | – | 31,021 | – | ||||||||||||||||
Cash and cash equivalents | 1,780 | 1,780 | – | – | ||||||||||||||||
Total | $ | 83,347 | $ | 36,308 | $ | 47,039 | $ | – | ||||||||||||
(1)Mutual fund that seeks to invest in a diversified portfolio of stocks with price appreciation growth opportunities. | ||||||||||||||||||||
(2)Mutual fund that seeks to invest in a diversified portfolio of stocks that will increase in value over the long-term as well as provide current income. | ||||||||||||||||||||
(3)An institutional fund that seeks to replicate the performance of the S&P 500 Index before fees. | ||||||||||||||||||||
(4)Mutual fund that seeks to invest in a diversified portfolio of stocks with small market capitalizations. | ||||||||||||||||||||
(5)Mutual funds that invest primarily in equity securities of companies domiciled outside of the United States, primarily in developed markets. | ||||||||||||||||||||
(6)An institutional fund that invests primarily in the equity securities of companies domiciled in emerging markets. | ||||||||||||||||||||
(7)An institutional fund that seeks to replicate the performance of the Barclays Capital Long-Term Corporate Bond Index before fees through a sampling process. | ||||||||||||||||||||
The Company’s pension plan assets that are classified as Level 1 are due to the pension plan’s investments comprising either cash or investments in open-ended mutual funds which produce a daily net asset value that is validated with a sufficient level of observable activity to support classification of the fair value measurement as Level 1. The Company’s Level 2 pension plan assets represent investments in institutional funds. These equity securities can be redeemed on demand but are not actively traded. The fair values of these Level 2 securities are based upon the net asset values provided by the investment managers. No concentration of risk arising within or across categories of plan assets exists due to any significant investments in a single entity, industry, country or investment fund. | ||||||||||||||||||||
StockBased_Compensation
Stock-Based Compensation | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Stock-Based Compensation [Abstract] | ' | ||||||||||||||||||||
Stock-Based Compensation | ' | ||||||||||||||||||||
(13) STOCK-BASED COMPENSATION | |||||||||||||||||||||
The Southwestern Energy Company 2013 Incentive Plan (2013 Plan) was adopted in February 2013 and approved by stockholders in May 2013. The 2013 Plan provides for the compensation of officers, key employees and eligible non-employee directors of the Company and its subsidiaries. The 2013 Plan replaced the Southwestern Energy Company 2004 Stock Incentive Plan, the Southwestern Energy Company 2000 Stock Incentive Plan (2000 Plan) and the Southwestern Energy Company 2002 Employee Stock Incentive Plan (2002 Plan) but did not affect prior awards under those plans which remained valid and some of which are still outstanding. The awards under the prior plans have been adjusted for stock splits as permitted under such plans. | |||||||||||||||||||||
The 2013 Plan provides for grants of options, stock appreciation rights, and shares of restricted stock and restricted stock units to employees, officers and directors that in the aggregate do not exceed 20,500,000 shares. The types of incentives that may be awarded are comprehensive and are intended to enable the Company’s board of directors to structure the most appropriate incentives and to address changes in income tax laws which may be enacted over the term of the 2013 Plan. | |||||||||||||||||||||
As initially adopted, the 2004 Plan, the 2000 Plan and the 2002 Plan provided for grants of options, stock appreciation rights, shares of phantom stock and shares of restricted stock that in the aggregate did not exceed 16,800,000, 1,125,000 and 300,000 shares, respectively, to employees who are not officers or directors of the Company under provisions of Section 16 of the Securities Exchange Act of 1934, as amended. | |||||||||||||||||||||
The Company may utilize treasury shares, if available, or authorized but unissued shares when a stock option is exercised or when restricted stock is granted. | |||||||||||||||||||||
The Company measures the cost of employee services received in exchange for an award of equity instruments based on the grant date fair value of the award. All options are issued at fair market value at the date of grant and expire seven years from the date of grant for awards under both the 2013 Plan and the 2004 Plan and ten years from the date of grant for awards under all other plans. Generally, stock options granted to employees and directors vest ratably over three years from the grant date. The Company issues shares of restricted stock to employees and directors which generally vest over four years. The Company recognizes stock-based compensation expense on a straight-line basis over the requisite service period of the individual grants with the exception of awards granted to participants who have reached retirement age or will reach retirement age during the vesting period. Restricted stock and stock options granted to participants on or after December 6, 2013 immediately vest upon death, disability or retirement (subject to a minimum of three years of service). | |||||||||||||||||||||
Stock Options | |||||||||||||||||||||
The Company recorded the following compensation costs related to stock options for the years ended December 31, 2013, 2012 and 2011: | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Stock-based compensation cost related to stock options – general and administrative expense | $ | 5,494 | $ | 5,427 | $ | 4,959 | |||||||||||||||
Stock-based compensation cost related to stock options – capitalized | $ | 4,812 | $ | 4,468 | $ | 3,365 | |||||||||||||||
The Company also recorded a deferred tax benefit of $4.0 million related to stock options in 2013, compared to deferred tax benefits of $2.2 million in 2012 and $1.7 million in 2011. A total of $16.2 million of unrecognized compensation cost related to the Company’s unvested stock option and restricted stock grants. This cost is expected to be recognized over a weighted-average period of 2.1 years. | |||||||||||||||||||||
The fair value of stock options is estimated on the date of the grant using a Black-Scholes valuation model that uses the weighted average assumptions noted in the following table. Expected volatility is based on historical volatility of the Company’s common stock and other factors. The Company uses historical data on exercise of stock options, post vesting forfeitures and other factors to estimate the expected term of the stock-based payments granted. The risk free interest rate is based on the U.S. Treasury yield curve in effect at the time of grant. | |||||||||||||||||||||
Assumptions | 2013 | 2012 | 2011 | ||||||||||||||||||
Risk-free interest rate | 1.5% | 0.6% | 0.9% | ||||||||||||||||||
Expected dividend yield | – | – | – | ||||||||||||||||||
Expected volatility | 38.6% | 58.2% | 58.1% | ||||||||||||||||||
Expected term | 5 years | 5 years | 5 years | ||||||||||||||||||
The following tables summarize stock option activity for the years 2013, 2012 and 2011 and provide information for options outstanding at December 31 of each year: | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Weighted | Weighted | Weighted | |||||||||||||||||||
Average | Average | Average | |||||||||||||||||||
Number | Exercise | Number | Exercise | Number | Exercise | ||||||||||||||||
of Shares | Price | of Shares | Price | of Shares | Price | ||||||||||||||||
Options outstanding at January 1 | 3,649,520 | $ | 29.84 | 4,741,732 | $ | 21.24 | 4,769,122 | $ | 16.13 | ||||||||||||
Granted | 571,166 | 38.95 | 613,120 | 34.34 | 853,478 | 36.64 | |||||||||||||||
Exercised | -833,132 | 12.12 | -1,607,784 | 5.71 | -850,659 | 7.54 | |||||||||||||||
Forfeited or expired | -74,861 | 37.31 | -97,548 | 37.76 | -30,209 | 35.46 | |||||||||||||||
Options outstanding at December 31 | 3,312,693 | $ | 35.70 | 3,649,520 | $ | 29.84 | 4,741,732 | $ | 21.24 | ||||||||||||
Options Outstanding | Options Exercisable | ||||||||||||||||||||
Weighted | Weighted | ||||||||||||||||||||
Average | Average | ||||||||||||||||||||
Options | Weighted | Remaining | Aggregate | Options | Weighted | Remaining | Aggregate | ||||||||||||||
Outstanding at | Average | Contractual | Intrinsic | Exercisable at | Average | Contractual | Intrinsic | ||||||||||||||
Range of | December 31, | Exercise | Life | Value | December 31, | Exercise | Life | Value | |||||||||||||
Exercise Prices | 2013 | Price | (Years) | (thousands) | 2013 | Price | (Years) | (thousands) | |||||||||||||
$20.34-$29.69 | 273,134 | 27.31 | 1.2 | 265,025 | 27.29 | 1.1 | |||||||||||||||
$30.23-$35.91 | 1,087,218 | 33.09 | 4.3 | 677,387 | 32.32 | 3.4 | |||||||||||||||
$36.22-$39.91 | 1,587,066 | 37.56 | 5.4 | 803,412 | 36.74 | 4.4 | |||||||||||||||
$40.15-$51.47 | 365,275 | 41.64 | 3.0 | 358,004 | 41.62 | 2.9 | |||||||||||||||
3,312,693 | $ | 35.70 | 4.4 | $ | 12,882 | 2,103,828 | $ | 34.96 | 2.9 | $ | 10,022 | ||||||||||
The weighted-average grant-date fair value of options granted during the years 2013, 2012 and 2011 was $13.39, $16.91 and $18.17, respectively. The total intrinsic value of options exercised during 2013, 2012 and 2011 was $21.7 million, $44.1 million and $27.0 million, respectively. | |||||||||||||||||||||
Restricted Stock | |||||||||||||||||||||
The Company recorded the following compensation costs related to restricted stock grants for the years ended December 31, 2013, 2012 and 2011: | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Stock-based compensation cost related to restricted stock grants | $ | 7,432 | $ | 6,368 | $ | 5,591 | |||||||||||||||
– general and administrative expense | |||||||||||||||||||||
Stock-based compensation cost related to restricted stock grants | $ | 7,469 | $ | 5,994 | $ | 5,162 | |||||||||||||||
– capitalized | |||||||||||||||||||||
The Company also recorded a deferred tax liability of $14.8 million related to restricted stock for the year ended December 31, 2013, compared to deferred tax liabilities of $1.4 million for 2012 and $2.1 million for 2011. As of December 31, 2013, there was $62.5 million of total unrecognized compensation cost related to unvested shares of restricted stock that is expected to be recognized over a weighted-average period of 3.4 years. | |||||||||||||||||||||
The following table summarizes the restricted stock activity for the years 2013, 2012 and 2011 and provides information for restricted stock outstanding at December 31 of each year: | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Weighted | Weighted | Weighted | |||||||||||||||||||
Average | Average | Average | |||||||||||||||||||
Number | Grant Date | Number | Grant Date | Number | Grant Date | ||||||||||||||||
of Shares | Fair Value | of Shares | Fair Value | of Shares | Fair Value | ||||||||||||||||
Unvested shares at January 1 | 1,117,515 | $ | 35.64 | 1,019,737 | $ | 36.71 | 834,058 | $ | 36.24 | ||||||||||||
Granted | 1,108,852 | 38.92 | 537,244 | 34.39 | 532,754 | 36.41 | |||||||||||||||
Vested | -381,676 | 36.29 | -344,164 | 36.50 | -294,358 | 34.90 | |||||||||||||||
Forfeited | -73,769 | 35.81 | -95,302 | 36.97 | -52,717 | 36.45 | |||||||||||||||
Unvested shares at December 31 | 1,770,922 | $ | 37.55 | 1,117,515 | $ | 35.64 | 1,019,737 | $ | 36.71 | ||||||||||||
The fair values of the grants were $43.2 million for 2013, $18.5 million for 2012 and $19.4 million for 2011. The total fair value of shares vested were $13.9 million for 2013, $12.6 million for 2012 and $10.9 million for 2011. | |||||||||||||||||||||
Liability-Classified Performance Units | |||||||||||||||||||||
Certain employees were provided performance units vesting equally over three years. The payout of these units is based on certain metrics, such as total shareholder return and reserve replacement efficiency, compared to a predetermined group of peer companies and Company goal. At the end of each performance period, the value of the vested performance units, if any, is paid in cash. The Company paid $3.3 million related to the vested performance units in 2013, $19.1 million in 2012, and $15.8 million in 2011. As of December 31, 2013 and 2012, the Company’s liability under the performance unit agreements was $45.3 million and $41.3 million, respectively. | |||||||||||||||||||||
Segment_Information
Segment Information | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Segment Information [Abstract] | ' | ||||||||||||
Segment Information | ' | ||||||||||||
(14) SEGMENT INFORMATION | |||||||||||||
The Company’s reportable business segments have been identified based on the differences in products or services provided. Revenues for the E&P segment are derived from the production and sale of natural gas and oil. The Midstream Services segment generates revenue through the marketing of both Company and third-party produced natural gas volumes and through gathering fees associated with the transportation of natural gas to market. | |||||||||||||
Summarized financial information for the Company’s reportable segments is shown in the following table. The accounting policies of the segments are the same as those described in Note 1. Management evaluates the performance of its segments based on operating income, defined as operating revenues less operating costs and expenses. Income before income taxes, for the purpose of reconciling the operating income amount shown below to consolidated income before income taxes, is the sum of operating income, interest expense and other income (loss), net. The “Other” column includes items not related to the Company’s reportable segments including real estate and corporate items. | |||||||||||||
Exploration | |||||||||||||
and | Midstream | ||||||||||||
Production | Services | Other | Total | ||||||||||
(in thousands) | |||||||||||||
2013 | |||||||||||||
Revenues from external customers | $ | 2,398,214 | $ | 972,832 | $ | 99 | $ | 3,371,145 | |||||
Intersegment revenues | 5,951 | 2,373,851 | 241 | 2,380,043 | |||||||||
Operating income (loss) | 878,701 | 325,435 | -513 | 1,203,623 | |||||||||
Other income (loss), net | 2,741 | -1 | -533 | 2,207 | |||||||||
Gain (loss) on derivatives | 25,670 | 480 | -9 | 26,141 | |||||||||
Depreciation, depletion and amortization expense | 735,215 | 50,940 | 457 | 786,612 | |||||||||
Interest expense(2) | 30,244 | 10,619 | 731 | 41,594 | |||||||||
Provision (benefit) for income taxes(2) | 368,320 | 119,223 | -669 | 486,874 | |||||||||
Assets | 6,356,799 | -3 | 1,427,294 | 263,633 | 8,047,726 | ||||||||
Capital investments(4) | 2,052,148 | 157,635 | 25,014 | 2,234,797 | |||||||||
2012 | |||||||||||||
Revenues from external customers | $ | 1,964,624 | $ | 765,255 | $ | 114 | $ | 2,729,993 | |||||
Intersegment revenues | -1,452 | 1,598,225 | 2,751 | 1,599,524 | |||||||||
Operating income (loss) (1) | -1,396,261 | 294,302 | 1,333 | -1,100,626 | |||||||||
Other income (loss), net | -1,156 | 132 | 2,054 | 1,030 | |||||||||
Loss on derivatives | -14,950 | – | – | -14,950 | |||||||||
Depreciation, depletion and amortization expense | 765,368 | 44,395 | 1,190 | 810,953 | |||||||||
Impairment of natural gas and oil properties | 1,939,734 | – | – | 1,939,734 | |||||||||
Interest expense(2) | 20,315 | 14,341 | 1,001 | 35,657 | |||||||||
Provision for income taxes(2) | -548,556 | 104,522 | 895 | -443,139 | |||||||||
Assets | 5,193,733 | -3 | 1,273,228 | 270,566 | 6,737,527 | ||||||||
Capital investments(4) | 1,860,681 | 164,978 | 54,860 | 2,080,519 | |||||||||
2011 | |||||||||||||
Revenues from external customers | $ | 2,087,189 | $ | 864,096 | $ | 47 | $ | 2,951,332 | |||||
Intersegment revenues | 11,725 | 1,995,423 | 3,221 | 2,010,369 | |||||||||
Operating income | 823,564 | 247,952 | 1,711 | 1,073,227 | |||||||||
Other income (loss), net | 328 | -91 | 27 | 264 | |||||||||
Gain on derivatives | 1,574 | – | – | 1,574 | |||||||||
Depreciation, depletion and amortization expense | 666,125 | 37,261 | 1,125 | 704,511 | |||||||||
Interest expense(2) | 9,026 | 15,049 | – | 24,075 | |||||||||
Provision for income taxes(2) | 322,714 | 90,221 | 286 | 413,221 | |||||||||
Assets | 6,547,117 | -3 | 1,119,861 | 235,919 | 7,902,897 | ||||||||
Capital investments(4) | 1,977,493 | 160,776 | 68,905 | 2,207,174 | |||||||||
(1)The operating loss for the E&P segment for the twelve months ended December 31, 2012 includes a $1,939.7 million non-cash ceiling test impairment of our natural gas and oil properties. | |||||||||||||
(2) Interest expense and the provision (benefit) for income taxes by segment are an allocation of corporate amounts as they are incurred at the corporate level. | |||||||||||||
(3)Includes office, technology, drilling rigs and other ancillary equipment not directly related to natural gas and oil property acquisition, exploration and development activities. | |||||||||||||
(4)Capital investments include a decrease of $24.9 million for 2013, a decrease of $36.9 million for 2012 and an increase of $4.3 million for 2011 related to the change in accrued expenditures between years. | |||||||||||||
Included in intersegment revenues of the Midstream Services segment are approximately $2.0 billion, $1.3 billion and $1.7 billion for 2013, 2012 and 2011, respectively, for marketing of the Company’s E&P sales. Corporate assets include cash and cash equivalents, restricted cash, furniture and fixtures, prepaid debt and other costs. Corporate general and administrative costs, depreciation expense and taxes other than income are allocated to the segments. For 2013, 2012, and 2011, capital investments within the E&P segment include $35.4 million, $11.6 million, and $18.7 respectively, related to the Company’s activities in Canada. As of December 31, 2013, 2012, and 2011, E&P assets include $79.2 million, $44.4 million, $28.4 million related to the Company’s activities in Canada. | |||||||||||||
Quarterly_Results_Unaudited
Quarterly Results (Unaudited) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Quarterly Financial Data [Abstract] | ' | ||||||||||||
Quarterly Results (Unaudited) | ' | ||||||||||||
(15) QUARTERLY RESULTS (UNAUDITED) | |||||||||||||
The following is a summary of the quarterly results of operations for the years ended December 31, 2013 and 2012: | |||||||||||||
1st Quarter | 2nd Quarter | 3rd Quarter | 4th Quarter | ||||||||||
(in thousands, except per share amounts) | |||||||||||||
2013 | |||||||||||||
Operating revenues | $ | 733,649 | $ | 862,041 | $ | 868,366 | $ | 907,089 | |||||
Operating income | 251,960 | 325,317 | 309,229 | 317,117 | |||||||||
Net income | 127,515 | 245,631 | 185,867 | 144,490 | |||||||||
Earnings per share - Basic | 0.36 | 0.70 | 0.53 | 0.41 | |||||||||
Earnings per share - Diluted | 0.36 | 0.70 | 0.53 | 0.41 | |||||||||
2012 | |||||||||||||
Operating revenues | $ | 654,835 | $ | 606,076 | $ | 691,727 | $ | 777,355 | |||||
Operating income (1) | 184,326 | -646,046 | -65,959 | -572,947 | |||||||||
Net income | 107,704 | -405,132 | -54,053 | -355,583 | |||||||||
Earnings per share - Basic | 0.31 | -1.16 | -0.16 | -1.02 | |||||||||
Earnings per share - Diluted | 0.31 | -1.16 | -0.16 | -1.02 | |||||||||
(1) 2012 Operating income includes an impairment charge for the full year of $1,939.7 million. | |||||||||||||
Condensed_Consolidating_Financ
Condensed Consolidating Financial Information | 12 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Condensed Consolidating Financial Information [Abstract] | ' | |||||||||||||||
Condensed Consolidating Financial Information | ' | |||||||||||||||
(16) CONDENSED CONSOLIDATING FINANCIAL INFORMATION | ||||||||||||||||
As of December 16, 2013, following the release of all guarantees under the 7.15%, 7.5%, 7.35%, 7.125% and 4.10% Senior Notes and our former credit facility, as described in Note 8, all of our 100%-owned subsidiaries have been released of their guarantees. | ||||||||||||||||
Prior to that date, the Company’s obligations under registered public debt and outstanding senior notes as listed in Note 8 were fully and unconditionally guaranteed, jointly and severally, by all of our 100%-owned subsidiaries, other than minor subsidiaries, on a senior unsecured basis, and the Company, as a parent company, had no independent assets or operations. The subsidiary guarantees (i) ranked equally in right of payment with all of the existing and future senior debt of the subsidiary guarantors; (ii) ranked senior to all of the existing and future subordinated debt of the subsidiary guarantors; (iii) were effectively subordinated to any future secured obligations of the subsidiary guarantors to the extent of the value of the assets securing such obligations; and (iv) were structurally subordinated to all debt and other obligations of the subsidiaries of the guarantors. In the case of each series of notes, if no default or event of default had occurred and was continuing, these guarantees would be released (i) automatically upon any sale, exchange or transfer of all of the Company’s equity interests in the guarantor; (ii) automatically upon the liquidation and dissolution of a guarantor; (iii) following delivery of notice to the trustee of the release of the guarantor of its obligations under the Company’s revolving credit facility; and (iv) upon legal or covenant defeasance or other satisfaction of the obligations under the notes. In addition, there were no significant restrictions on the ability of the Company or any guarantor to obtain funds from its subsidiaries by dividend or loan, and none of the assets of the Company or a guarantor represented restricted net assets pursuant to Rule 4-08(e)(3) of Regulation S-X under the Securities Act. | ||||||||||||||||
The Company is providing condensed consolidating financial information for SEECO, SEPCO and SES, its subsidiaries that were guarantors of the Company’s registered public debt and outstanding senior notes, and for its other subsidiaries that are not guarantors of such debt as of and for the years December 31, 2012 and 2011. The Company has not provided comparative financial statements for 2013 because all guarantees were released in 2013. The Company has not presented separate financial and narrative information for each of the former subsidiary guarantors because it believes that such financial and narrative information would not provide any additional information that would be material in evaluating the sufficiency of the guarantees. The following condensed consolidating financial information summarizes the results of operations, financial position and cash flows for the Company’s former guarantor and other subsidiaries. | ||||||||||||||||
CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS | ||||||||||||||||
Parent | Former | Other | Eliminations | Consolidated | ||||||||||||
Guarantors | Subsidiaries | |||||||||||||||
(in thousands) | ||||||||||||||||
Year ended December 31, 2012: | ||||||||||||||||
Operating revenues | $ | – | $ | 2,556,634 | $ | 476,997 | $ | -303,638 | $ | 2,729,993 | ||||||
Operating costs and expenses: | ||||||||||||||||
Gas purchases | – | 593,091 | – | -625 | 592,466 | |||||||||||
Operating expenses | – | 423,147 | 121,953 | -300,365 | 244,735 | |||||||||||
General and administrative expenses | – | 151,488 | 26,307 | -2,648 | 175,147 | |||||||||||
Depreciation, depletion and amortization | – | 765,623 | 45,330 | – | 810,953 | |||||||||||
Impairment of natural gas and oil | – | 1,939,734 | – | – | 1,939,734 | |||||||||||
properties | ||||||||||||||||
Taxes, other than income taxes | – | 56,262 | 11,321 | 1 | 67,584 | |||||||||||
Total operating costs and expenses | – | 3,929,345 | 204,911 | -303,637 | 3,830,619 | |||||||||||
Operating income (loss) | – | -1,372,711 | 272,086 | -1 | -1,100,626 | |||||||||||
Other income (loss), net | – | -1,143 | 2,173 | – | 1,030 | |||||||||||
Gain (loss) on derivatives | – | -14,950 | – | – | -14,950 | |||||||||||
Equity in earnings of subsidiaries | -707,064 | – | – | 707,064 | – | |||||||||||
Interest expense | – | 22,312 | 13,345 | – | 35,657 | |||||||||||
Income (loss) before income taxes | -707,064 | -1,411,116 | 260,914 | 707,063 | -1,150,203 | |||||||||||
Provision (benefit) for income taxes | – | -538,357 | 95,218 | – | -443,139 | |||||||||||
Net income (loss) | -707,064 | -872,759 | 165,696 | 707,063 | -707,064 | |||||||||||
Comprehensive income (loss) | $ | -965,688 | $ | -1,125,454 | $ | 166,225 | $ | 959,229 | $ | -965,688 | ||||||
Year ended December 31, 2011: | ||||||||||||||||
Operating revenues | $ | – | $ | 2,801,811 | $ | 411,998 | $ | -262,477 | $ | 2,951,332 | ||||||
Operating costs and expenses: | ||||||||||||||||
Gas purchases | – | 710,487 | – | -1,396 | 709,091 | |||||||||||
Operating expenses | – | 380,154 | 118,713 | -257,923 | 240,944 | |||||||||||
General and administrative expenses | – | 141,499 | 19,700 | -3,158 | 158,041 | |||||||||||
Depreciation, depletion and amortization | – | 665,615 | 38,896 | – | 704,511 | |||||||||||
Taxes, other than income taxes | – | 53,950 | 11,568 | – | 65,518 | |||||||||||
Total operating costs and expenses | – | 1,951,705 | 188,877 | -262,477 | 1,878,105 | |||||||||||
Operating income | – | 850,106 | 223,121 | – | 1,073,227 | |||||||||||
Other income (loss), net | – | 306 | -42 | – | 264 | |||||||||||
Gain (loss) on derivatives | – | 1,574 | – | – | 1,574 | |||||||||||
Equity in earnings of subsidiaries | 637,769 | – | – | -637,769 | – | |||||||||||
Interest expense | – | 11,277 | 12,798 | – | 24,075 | |||||||||||
Income (loss) before income taxes | 637,769 | 840,709 | 210,281 | -637,769 | 1,050,990 | |||||||||||
Provision for income taxes | – | 332,795 | 80,426 | – | 413,221 | |||||||||||
Net income (loss) | 637,769 | 507,914 | 129,855 | -637,769 | 637,769 | |||||||||||
Comprehensive income (loss) | $ | 962,222 | $ | 836,291 | $ | 129,294 | $ | -965,585 | $ | 962,222 | ||||||
CONDENSED CONSOLIDATING BALANCE SHEETS | ||||||||||||||||
Parent | Former | Other | Eliminations | Consolidated | ||||||||||||
Guarantors | Subsidiaries | |||||||||||||||
(in thousands) | ||||||||||||||||
December 31, 2012: | ||||||||||||||||
ASSETS | ||||||||||||||||
Cash and cash equivalents | $ | 47,491 | $ | 5,988 | $ | 104 | $ | – | $ | 53,583 | ||||||
Restricted cash | 8,542 | – | – | – | 8,542 | |||||||||||
Accounts receivable | 2,677 | 353,607 | 21,354 | – | 377,638 | |||||||||||
Inventories | 2 | 26,975 | 1,164 | – | 28,141 | |||||||||||
Other current assets | 7,461 | 321,396 | 12,151 | – | 341,008 | |||||||||||
Total current assets | 66,173 | 707,966 | 34,773 | – | 808,912 | |||||||||||
Intercompany receivables | 2,259,713 | 42 | 27,077 | -2,286,832 | – | |||||||||||
Property and equipment | 220,837 | 11,491,222 | 1,316,380 | – | 13,028,439 | |||||||||||
Less: Accumulated depreciation, depletion and | -82,178 | -6,923,106 | -186,179 | – | -7,191,463 | |||||||||||
amortization | ||||||||||||||||
138,659 | 4,568,116 | 1,130,201 | – | 5,836,976 | ||||||||||||
Investments in subsidiaries (equity method) | 2,309,947 | – | – | -2,309,947 | – | |||||||||||
Other assets | 35,136 | 42,247 | 14,256 | – | 91,639 | |||||||||||
Total assets | $ | 4,809,628 | $ | 5,318,371 | $ | 1,206,307 | $ | -4,596,779 | $ | 6,737,527 | ||||||
LIABILITIES AND EQUITY | ||||||||||||||||
Accounts payable | $ | 140,367 | $ | 375,604 | $ | 41,009 | $ | – | $ | 556,980 | ||||||
Other current liabilities | 3,758 | 205,623 | 1,410 | – | 210,791 | |||||||||||
Total current liabilities | 144,125 | 581,227 | 42,419 | – | 767,771 | |||||||||||
Intercompany payables | – | 2,108,360 | 178,472 | -2,286,832 | – | |||||||||||
Long-term debt | 1,668,273 | – | – | – | 1,668,273 | |||||||||||
Deferred income taxes | -116,207 | 820,279 | 345,066 | – | 1,049,138 | |||||||||||
Other liabilities | 77,565 | 124,505 | 14,403 | – | 216,473 | |||||||||||
Total liabilities | 1,773,756 | 3,634,371 | 580,360 | -2,286,832 | 3,701,655 | |||||||||||
Commitments and contingencies | ||||||||||||||||
Total equity | 3,035,872 | 1,684,000 | 625,947 | -2,309,947 | 3,035,872 | |||||||||||
Total liabilities and equity | $ | 4,809,628 | $ | 5,318,371 | $ | 1,206,307 | $ | -4,596,779 | $ | 6,737,527 | ||||||
CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS | ||||||||||||||||
Parent | Former | Other | Eliminations | Consolidated | ||||||||||||
Guarantors | Subsidiaries | |||||||||||||||
(in thousands) | ||||||||||||||||
Year ended December 31, 2012: | ||||||||||||||||
Net cash provided by operating activities | $ | -39,934 | $ | 1,278,673 | $ | 415,203 | $ | – | $ | 1,653,942 | ||||||
Investing activities: | ||||||||||||||||
Capital investments | -36,918 | -1,868,487 | -202,350 | – | -2,107,755 | |||||||||||
Proceeds from sale of property and equipment | 26,006 | 169,149 | 5,946 | – | 201,101 | |||||||||||
Transfers to restricted cash | -167,788 | – | – | – | -167,788 | |||||||||||
Transfers from restricted cash | 159,245 | 1 | – | – | 159,246 | |||||||||||
Other | -696 | -35,792 | 45,007 | – | 8,519 | |||||||||||
Net cash used in investing activities | -20,151 | -1,735,129 | -151,397 | – | -1,906,677 | |||||||||||
Financing activities: | ||||||||||||||||
Intercompany activities | -198,023 | 462,443 | -264,420 | – | – | |||||||||||
Payments on current portion of long-term debt | -1,200 | – | – | – | -1,200 | |||||||||||
Payments on revolving long-term debt | -2,263,900 | – | – | – | -2,263,900 | |||||||||||
Borrowings under revolving long-term debt | 1,592,400 | – | – | – | 1,592,400 | |||||||||||
Proceeds from issuance of long-term debt | 998,780 | – | – | – | 998,780 | |||||||||||
Other | -35,192 | 1 | – | – | -35,191 | |||||||||||
Net cash provided by (used in) financing activities | 92,865 | 462,444 | -264,420 | – | 290,889 | |||||||||||
Effect of exchange rate changes on cash | – | – | -198 | – | -198 | |||||||||||
Increase (decrease) in cash and cash equivalents | 32,780 | 5,988 | -812 | – | 37,956 | |||||||||||
Cash and cash equivalents at beginning of year | 14,711 | – | 916 | – | 15,627 | |||||||||||
Cash and cash equivalents at end of period | $ | 47,491 | $ | 5,988 | $ | 104 | $ | – | $ | 53,583 | ||||||
Year ended December 31, 2011: | ||||||||||||||||
Net cash provided by operating activities | $ | 14,688 | $ | 1,482,853 | $ | 242,276 | $ | – | $ | 1,739,817 | ||||||
Investing activities: | ||||||||||||||||
Capital investments | -66,647 | -1,916,246 | -201,581 | – | -2,184,474 | |||||||||||
Proceeds from sale of property and equipment | – | 154,261 | 265 | – | 154,526 | |||||||||||
Transfers to restricted cash | -85,055 | – | – | – | -85,055 | |||||||||||
Transfers from restricted cash | 85,055 | – | – | – | 85,055 | |||||||||||
Other | 16,263 | -43,961 | 32,856 | – | 5,158 | |||||||||||
Net cash used in investing activities | -50,384 | -1,805,946 | -168,460 | – | -2,024,790 | |||||||||||
Financing activities: | ||||||||||||||||
Intercompany activities | -242,277 | 315,462 | -73,185 | – | – | |||||||||||
Payments on current portion of long-term debt | -1,200 | – | – | – | -1,200 | |||||||||||
Payments on revolving long-term debt | -3,445,900 | – | – | – | -3,445,900 | |||||||||||
Borrowings under revolving long-term debt | 3,696,200 | – | – | – | 3,696,200 | |||||||||||
Other | 35,203 | – | – | – | 35,203 | |||||||||||
Net cash provided by financing activities | 42,026 | 315,462 | -73,185 | – | 284,303 | |||||||||||
Effect of exchange rate changes on cash | – | – | 242 | – | 242 | |||||||||||
Increase (decrease) in cash and cash equivalents | 6,330 | -7,631 | 873 | – | -428 | |||||||||||
Cash and cash equivalents at beginning of year | 8,381 | 7,631 | 43 | – | 16,055 | |||||||||||
Cash and cash equivalents at end of period | $ | 14,711 | $ | – | $ | 916 | $ | – | $ | 15,627 | ||||||
Organization_and_Summary_of_Si1
Organization and Summary of Significant Accounting Policies (Policy) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Condensed Consolidating Financial Information [Abstract] | ' | ||||||||
Nature of Operations | ' | ||||||||
Southwestern Energy Company (including its subsidiaries, collectively, “Southwestern” or the “Company”) is an independent energy company engaged in natural gas and oil exploration, development and production. The Company engages in natural gas and oil exploration and production, natural gas gathering and natural gas marketing through its subsidiaries. Southwestern’s exploration, development and production (“E&P”) activities are principally focused within the United States on development of an unconventional gas reservoir in Arkansas, known as the Fayetteville Shale, in Pennsylvania, where we are targeting the unconventional gas reservoir known as the Marcellus Shale, and to a lesser extent in Texas, Arkansas, and Oklahoma in the Arkoma Basin. We have commenced exploration operations in Arkansas and Louisiana testing an unconventional oil play targeting the Lower Smackover Brown Dense. In 2010, we commenced an exploration program in New Brunswick, Canada, which represents our first operations outside of the United States. Southwestern’s natural gas gathering and marketing (Midstream Services) activities primarily support the Company’s E&P activities in Arkansas, Pennsylvania and Texas. | |||||||||
Basis of Presentation | ' | ||||||||
The consolidated financial statements included in this Annual Report on Form 10-K present the Company’s financial position, results of operations and cash flows for the periods presented in accordance with accounting principles generally accepted in the United States (“GAAP”). The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts of assets and liabilities and disclosure of contingent assets and liabilities, if any, at the date of the financial statements, and the amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The Company evaluates subsequent events through the date the financial statements are issued. | |||||||||
Certain reclassifications have been made to the prior year’s financial statements to conform to the 2013 presentation. The effects of the reclassifications were not material to the Company’s consolidated financial statements. | |||||||||
Principles of Consolidation | ' | ||||||||
The consolidated financial statements include the accounts of Southwestern and its wholly owned subsidiaries. All significant intercompany accounts and transactions have been eliminated. | |||||||||
Revenue Recognition | ' | ||||||||
Natural gas and oil sales. Natural gas sales and oil sales are recognized when the products are sold to a purchaser at a fixed or determinable price, delivery has occurred, title has transferred and collectability of the revenue is reasonably assured. The Company uses the entitlement method that requires revenue recognition for the Company’s net revenue interest of sales from its properties. Accordingly, natural gas sales and oil sales are not recognized for deliveries in excess of the Company’s net revenue interest, while natural gas sales and oil sales are recognized for any under delivered volumes. Production imbalances are generally recorded at estimated sales prices of the anticipated future settlements of the imbalances. As of December 31, 2013, the Company had overproduction of 11.2 Bcf valued at $37.9 million and underproduction of 12.5 Bcf valued at $38.5 million. At December 31, 2012, the Company had overproduction of 8.4 Bcf valued at $28.4 million and underproduction of 9.4 Bcf valued at $29.9 million. | |||||||||
Gas marketing. The Company generally markets its natural gas, as well as some gas produced by third parties, to brokers, local distribution companies and end-users, pursuant to a variety of contracts. Gas marketing revenues are recognized when delivery of natural gas has occurred, title has transferred, the price is fixed or determinable and collectability of the revenue is reasonably assured. | |||||||||
Gas gathering. In certain areas the Company gathers its natural gas, as well as some natural gas produced by third parties, pursuant to a variety of contracts. Gas gathering revenues are recognized when the service is performed, the price is fixed or determinable and collectability of the revenue is reasonably assured. | |||||||||
Other. The Company maintains an underground gas storage facility and generally sells natural gas from its storage facility during the winter gas withdrawal season. Revenue is recognized on natural gas storage sales when the natural gas is sold to a purchaser at a fixed or determinable price, delivery has occurred, title has transferred and collectability of the revenue is reasonably assured. Other revenues, a component of gas sales, include a gain of $1.0 million in 2013, and losses of $0.9 million in 2012 and 2011, respectively, primarily related to the sale of natural gas in underground storage. | |||||||||
Cash and Cash Equivalents | ' | ||||||||
Cash and cash equivalents are defined by the Company as short-term, highly liquid investments that have an original maturity of three months or less and deposits in money market mutual funds that are readily convertible into cash. Management considers cash and cash equivalents to have minimal credit and market risk. | |||||||||
Certain of the Company’s cash accounts are zero-balance controlled disbursement accounts that do not have the right of offset against the Company’s other cash balances. The Company presents the outstanding checks written against these zero-balance accounts as a component of accounts payable in the accompanying consolidated balance sheets. Outstanding checks included as a component of accounts payable totaled $4.9 million and $12.1 million as of December 31, 2013 and 2012, respectively. | |||||||||
Restricted Cash | ' | ||||||||
Restricted cash represents proceeds deposited by the Company with a qualified intermediary to facilitate like-kind exchange transactions pursuant to Section 1031 of the Internal Revenue Code. | |||||||||
Inventory | ' | ||||||||
Inventory recorded in current assets includes $3.7 million as of December 31, 2013 and $5.6 million at December 31, 2012, for natural gas in underground storage owned by the Company’s E&P segment, and $34.1 million as of December 31, 2013 and $22.5 million at December 31, 2012 for tubulars and other equipment used in the E&P segment. | |||||||||
The Company has one natural gas storage facility. The current portion of the natural gas classified in inventory and carried at the lower of cost or market totaled $3.7 million as of December 31, 2013. The non-current portion of the natural gas classified in property and equipment and carried at cost totaled $16.0 million as of December 31, 2013. The carrying value of the non-current natural gas is evaluated for recoverability whenever events or changes in circumstances indicate that it may not be recoverable. Withdrawals of current natural gas in underground storage are accounted for by a weighted average cost method whereby natural gas withdrawn from storage is relieved at the weighted average cost of current natural gas remaining in the facility. | |||||||||
Other assets include $15.1 million as of December 31, 2013 and $13.8 million at December 31, 2012 for inventory held by the Midstream Services segment consisting primarily of pipe that will be used to construct gathering systems. | |||||||||
Tubulars and other equipment are carried at the lower of cost or market and are accounted for by a moving weighted average cost method that is applied within specific classes of inventory items. Purchases of inventory are recorded at cost and inventory is relieved at the weighted average cost of items remaining within a specified class. | |||||||||
Property, Depreciation, Depletion and Amortization | ' | ||||||||
Natural Gas and Oil Properties. The Company utilizes the full cost method of accounting for costs related to the exploration, development and acquisition of natural gas and oil properties. Under this method, all such costs (productive and nonproductive), including salaries, benefits and other internal costs directly attributable to these activities are capitalized on a country by country basis and amortized over the estimated lives of the properties using the units-of-production method. These capitalized costs, less accumulated amortization and related deferred income taxes, are subject to a ceiling test that limits such pooled costs to the aggregate of the present value of future net revenues attributable to proved natural gas and oil reserves discounted at 10% plus the lower of cost or market value of unproved properties. Any costs in excess of the ceiling are written off as a non-cash expense. The expense may not be reversed in future periods, even though higher natural gas and oil prices may subsequently increase the ceiling. Full cost companies must use the average quoted price from the first day of each month from the previous 12 months, including the impact of derivatives qualifying as cash flow hedges, to calculate the ceiling value of their reserves. | |||||||||
Using the average quoted price from the first day of each month from the previous 12 months for Henry Hub natural gas of $3.67 per MMBtu, West Texas Intermediate oil of $93.42 per barrel, and NGLs of $43.45 per barrel, adjusted for market differentials, the Company’s net book value of its United States natural gas and oil properties did not exceed the ceiling amount and did not result in a ceiling test impairment at December 31, 2013. Cash flow hedges of natural gas production in place increased this ceiling amount by approximately $70.7 million, net of tax, as of December 31, 2013. At December 31, 2012, the ceiling value of the Company’s reserves was calculated based upon the average quoted price from the first day of each month from the previous 12 months for Henry Hub natural gas of $2.76 per MMBtu for Henry Hub natural gas and West Texas Intermediate oil of $91.21 per barrel. At December 31, 2011, the ceiling value of the Company’s reserves was calculated based upon average quoted price from the first day of each month from the previous 12 months for Henry Hub natural gas of $4.12 per MMBtu for Henry Hub natural gas and for West Texas Intermediate oil of $92.71. Using the first-day-of-the-month prices of natural gas for the first two months of 2014 and NYMEX strip prices for the remainder of 2014, as applicable, the prices required to be used to determine the ceiling limit is not expected to result in a ceiling test write-down in 2014. Decreases in market prices as well as changes in production rates, levels of reserves, evaluation of costs excluded from amortization, future development costs and production costs could result in future ceiling test impairments. During 2012, the net capitalized costs of our natural gas and oil properties exceeded the ceiling by approximately $1,192.4 million (net of tax) and resulted in a non-cash ceiling test impairment. | |||||||||
All of our costs directly associated with the acquisition and evaluation of properties in Canada relating to our exploration program as of December 31, 2013 and as of December 31, 2012 were unproved and did not exceed the ceiling amount. If our exploration program in Canada is unsuccessful on all or a portion of these properties, or if further extensions are not granted, if requested, a ceiling test impairment may result in the future. | |||||||||
Gathering Systems. The Company’s investment in gathering systems is primarily related to its Fayetteville Shale assets in Arkansas and the Marcellus Shale assets in Pennsylvania. These assets are being depreciated on a straight-line basis over 25 years. | |||||||||
Capitalized Interest. Interest is capitalized on the cost of unevaluated natural gas and oil properties that are excluded from amortization and actively being evaluated. | |||||||||
Asset Retirement Obligations. An asset retirement obligation associated with the retirement of a tangible long-lived asset is recognized as a liability in the period incurred or when it becomes determinable, with an associated increase in the carrying amount of the related long-lived asset. The cost of the tangible asset, including the asset retirement cost, is depreciated over the useful life of the asset. The asset retirement obligation is recorded at its estimated fair value and accretion expense is recognized over time as the discounted liability is accreted to its expected settlement value. The Company owns natural gas and oil properties, which require expenditures to plug and abandon the wells and reclaim the associated pads when reserves in the wells are depleted. | |||||||||
Income Taxes | ' | ||||||||
The Company follows the asset and liability method of accounting for income taxes. Under this method, deferred tax assets and liabilities are recorded for the estimated future tax consequences attributable to the differences between the financial carrying amounts of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using the tax rate in effect for the year in which those temporary differences are expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in the year of the enacted rate change. Deferred income taxes are provided to recognize the income tax effect of reporting certain transactions in different years for income tax and financial reporting purposes. A valuation allowance is established to reduce deferred tax assets if it is more likely than not that the related tax benefits will not be realized. | |||||||||
The Company accounts for uncertainty in income taxes using a recognition and measurement threshold for tax positions taken or expected to be taken in a tax return. The tax benefit from an uncertain tax position is recognized when it is more likely than not that the position will be sustained upon examination by taxing authorities based on technical merits of the position. The amount of the tax benefit recognized is the largest amount of the benefit that has a greater than 50% likelihood of being realized upon ultimate settlement. The effective tax rate and the tax basis of assets and liabilities reflect management’s estimates of the ultimate outcome of various tax uncertainties. | |||||||||
Derivative Financial Instruments | ' | ||||||||
The Company uses derivative financial instruments to manage defined commodity price risks and does not use them for speculative trading purposes. The Company uses commodity fixed price swaps and fixed price options contracts to hedge sales of natural gas. Gains and losses resulting from the settlement of hedge contracts have been recognized in gas sales if designated for hedge accounting treatment or gain (loss) on derivative if not designated for hedge accounting treatment in the consolidated statements of operations when the contracts expire and the related physical transactions of the commodity hedged are recognized. Changes in the fair value of derivative instruments designated as cash flow hedges and not settled are included in other comprehensive income (loss) to the extent that they are effective in offsetting the changes in the cash flows of the hedged item. In contrast, gains and losses from the ineffective portion of fixed price swaps designated for hedge accounting treatment are recognized currently in gas sales in the consolidated statement of operations. Gains and losses from the ineffective portion of fixed price swaps not designated for hedge accounting treatment, interest rate swaps, fixed price call options, and basis swaps that were not designated for hedge accounting treatment are recognized in gain (loss) on derivatives in the consolidated statement of operations. Changes in the fair value of derivative instruments designated as fair value hedges as well as the offsetting gain or loss on the hedged item are recognized in earnings immediately. See Note 5 and Note 7 for a discussion of the Company’s hedging activities. | |||||||||
Earnings Per Share | ' | ||||||||
Basic earnings per common share is computed by dividing net income (loss) attributable to Southwestern by the weighted average number of common shares outstanding during each year. The diluted earnings per share calculation adds to the weighted average number of common shares outstanding the incremental shares that would have been outstanding assuming the exercise of dilutive stock options and the vesting of unvested restricted shares of common stock. Antidilutive is an increase in earnings per share or reduction in net loss per share resulting from the conversion, exercise, or contingent issuance of certain securities, as defined by GAAP. | |||||||||
For the year ended December 31, 2013, outstanding options for 1,569,665 shares with an average exercise price of $28.03 were included in the calculation of diluted shares. Options for 1,634,695 shares were excluded from the calculation because they would have had an antidilutive effect. As we recognized a net loss for the year ended December 31, 2012, the unvested stock options were not recognized in diluted earnings per share (“Diluted EPS”) calculations as they would be antidilutive. Options for 1,716,109 shares were excluded from the calculation of diluted shares because they would have had an antidilutive effect. For the year ended December 31, 2011, outstanding options for 3,577,104 shares with an average price of $11.78 were included in the calculation of diluted shares. Options for 881,254 shares were excluded from the calculation because they would have had an antidilutive effect. | |||||||||
For the year ended December 31, 2013, 258,396 shares of restricted stock were included in the calculation of diluted shares. The calculation excluded 114,433 shares of restricted stock because they would have had an antidilutive effect. As we recognized a net loss for the year ended December 31, 2012, the unvested share-based payments were not recognized in diluted earnings per share (“Diluted EPS”) calculations as they would be antidilutive. The calculation of diluted shares excluded 602,429 shares of restricted because they would have had an antidilutive effect. For the year ended December 31, 2011, 241,044 shares of restricted stock were included in the calculation of diluted shares. The calculation excluded 135,352 shares of restricted stock because they would have had an antidilutive effect. | |||||||||
Supplemental Disclosures of Cash Flow Information | |||||||||
Supplemental disclosures of cash flow information (in thousands): | |||||||||
For the years ended December 31, | |||||||||
2013 | 2012 | 2011 | |||||||
(in thousands) | |||||||||
Cash paid during the year for interest, net of amounts | $ | 36,267 | $ | 17,311 | $ | 19,159 | |||
capitalized | |||||||||
Cash paid during the year for income taxes | 18,787 | 818 | 4,198 | ||||||
Increase (decrease) in noncash property additions | -12,730 | -26,240 | 30,389 | ||||||
Stock-Based Compensation | ' | ||||||||
The Company accounts for stock-based compensation transactions using a fair value method and recognizes an amount equal to the fair value of the stock options and stock-based payment cost in either the consolidated statement of operations or capitalizes the cost into natural gas and oil properties or gathering systems included in property and equipment. Costs are capitalized when they are directly related to the acquisition, exploration and development activities of the Company’s natural gas and oil properties or directly related to the construction of the Company’s gathering systems. | |||||||||
Treasury Stock | ' | ||||||||
The Company maintains a non-qualified deferred compensation supplemental retirement savings plan for certain key employees whereby participants may elect to defer and contribute a portion of their compensation to a Rabbi Trust, as permitted by the plan. The Company includes the assets and liability of its supplemental retirement savings plan in its consolidated balance sheet. Shares of the Company’s common stock purchased under the non-qualified deferred compensation arrangement are held in the Rabbi Trust and are presented as treasury stock and carried at cost. As of December 31, 2013, 9,924 shares were accounted for as treasury stock, compared to 64,715 shares at December 31, 2012. | |||||||||
Foreign Currency Translation | ' | ||||||||
We have designated the Canadian dollar as the functional currency for our operations in Canada. The cumulative translation effects of translating the accounts from the functional currency into the U.S. dollar at current exchange rates are included as a separate component of stockholders' equity. | |||||||||
New Accounting Standards Implemented in this Report | ' | ||||||||
In January 2013, the FASB issued Accounting Standards Update No. 2013-01, Balance Sheet (Topic 210): Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities (“Update 2013-01”), which finalizes Proposed ASU No. 2012-250 and clarifies the scope of transactions that are subject to disclosures concerning offsetting. Update 2013-01 addresses implementation issues regarding the scope of ASU No. 2011-11, Balance Sheet (Topic 210): Disclosures about Offsetting Assets and Liabilities, issued in December 2011. Update 2013-01 clarifies that the scope of the disclosures under U.S. GAAP is limited to derivatives, repurchase agreements and reverse purchase agreements, and securities borrowing and securities lending transactions that are offset either in accordance with FASB ASC Section 210-20-45, Balance Sheet—Offsetting—Other Presentation Matters, or FASB ASC Section 815-10-45, Derivatives and Hedging—Overall—Other Presentation Matters, or are subject to a master netting arrangement or similar agreement. Update 2013-01 requires an entity (1) to apply the amendments for annual reporting periods beginning on or after January 1, 2013 and (2) to provide the required disclosures retrospectively for all comparative periods presented. The implementation of the disclosure requirement did not have a material impact on the Company’s consolidated results of operations, financial position or cash flows. | |||||||||
In February 2013, the FASB issued Accounting Standards Update No. 2013-02, Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income (“Update 2013-02”), which finalizes Proposed ASU No. 2012-240, and seeks to improve the transparency of reporting reclassifications out of accumulated other comprehensive income. Update 2013-02 replaces the presentation requirements in ASU No. 2011-05, Comprehensive Income (Topic 220): Presentation of Comprehensive Income, and ASU No. 2011-12, Comprehensive Income (Topic 220): Deferral of the Effective Date for Amendments to the Presentation of Reclassifications of Items Out of Accumulated Other Comprehensive Income in Accounting Standards Update No. 2011-05. Update 2013-02 requires an entity to report the effect of significant reclassifications out of accumulated other comprehensive income on the respective line items in net income if the amount being reclassified is required under U.S. GAAP to be reclassified in its entirety to net income. For public entities, Update 2013-02 is effective prospectively for reporting periods beginning after December 15, 2012, with early adoption permitted. The implementation of the disclosure requirement did not have a material impact on the Company’s consolidated results of operations, financial position or cash flows. | |||||||||
Organization_and_Summary_of_Si2
Organization and Summary of Significant Accounting Policies (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Supplemental Disclosures of Cash Flow Information [Abstract] | ' | ||||||||
Schedule of Supplemental Disclosures of Cash Flow Information | ' | ||||||||
For the years ended December 31, | |||||||||
2013 | 2012 | 2011 | |||||||
(in thousands) | |||||||||
Cash paid during the year for interest, net of amounts | $ | 36,267 | $ | 17,311 | $ | 19,159 | |||
capitalized | |||||||||
Cash paid during the year for income taxes | 18,787 | 818 | 4,198 | ||||||
Increase (decrease) in noncash property additions | -12,730 | -26,240 | 30,389 | ||||||
Prepaid_Expenses_Tables
Prepaid Expenses (Tables) | 12 Months Ended | |||||
Dec. 31, 2013 | ||||||
Prepaid Expenses [Abstract] | ' | |||||
Prepaid Expenses Table | ' | |||||
2013 | 2012 | |||||
(in thousands) | ||||||
Prepaid drilling costs | $ | 9,560 | $ | 30,101 | ||
Prepaid insurance | 7,619 | 9,507 | ||||
Prepaid taxes | 13,624 | 572 | ||||
Total | $ | 30,803 | $ | 40,180 | ||
Natural_Gas_And_Oil_Producing_
Natural Gas And Oil Producing Acitivities (Unaudited) (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Natural Gas And Oil Properties [Abstract] | ' | |||||||||||||||
Capitalized Costs Relating to Oil and Gas Producing Activities Disclosure | ' | |||||||||||||||
2013 | 2012 | |||||||||||||||
(in thousands) | ||||||||||||||||
Proved properties | $ | 12,337,372 | $ | 10,259,226 | ||||||||||||
Unproved properties | 956,469 | -1 | 1,023,888 | -1 | ||||||||||||
Total capitalized costs | 13,293,841 | 11,283,114 | ||||||||||||||
Less: Accumulated depreciation, depletion and amortization | 7,481,335 | 6,774,174 | ||||||||||||||
Net capitalized costs | $ | 5,812,506 | $ | 4,508,940 | ||||||||||||
Schedule of Capitalized Costs of Unproved Properties Excluded from Amortization | ' | |||||||||||||||
2013 | 2012 | 2011 | Prior | Total | ||||||||||||
(in thousands) | ||||||||||||||||
Property acquisition costs | $ | 147,791 | $ | 81,889 | $ | 221,451 | $ | 109,994 | $ | 561,125 | -1 | |||||
Exploration and development costs | 166,725 | 48,428 | 47,784 | 38,858 | 301,795 | -1 | ||||||||||
Capitalized interest | 7,792 | 11,067 | 38,145 | 36,545 | 93,549 | -1 | ||||||||||
$ | 322,308 | $ | 141,384 | $ | 307,380 | $ | 185,397 | $ | 956,469 | |||||||
Cost Incurred in Oil and Gas Property Acquisition, Exploration, and Development Activities Disclosure | ' | |||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||
(in thousands, except per Mcfe amounts) | ||||||||||||||||
Proved property acquisition costs | $ | 572 | $ | – | $ | 17 | ||||||||||
Unproved property acquisition costs | 168,404 | -1 | 220,822 | -1 | 262,886 | -1 | ||||||||||
Exploration costs | 192,164 | -2 | 197,280 | -2 | 63,419 | -2 | ||||||||||
Development costs | 1,662,138 | 1,492,841 | 1,633,784 | |||||||||||||
Capitalized costs incurred | 2,023,278 | 1,910,943 | 1,960,106 | |||||||||||||
Full cost pool amortization per Mcfe | $ | 1.08 | $ | 1.31 | $ | 1.30 | ||||||||||
Results of Operations for Oil and Gas Producing Activities Disclosure | ' | |||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||
(in thousands) | ||||||||||||||||
Sales | $ | 2,404,165 | $ | 1,963,172 | $ | 2,098,914 | ||||||||||
Production (lifting) costs | -628,817 | -505,271 | -469,153 | |||||||||||||
Depreciation, depletion and amortization | -735,215 | -765,192 | -666,107 | |||||||||||||
Impairment of natural gas and oil properties | – | -1,939,734 | – | |||||||||||||
1,040,133 | -1,247,025 | 963,654 | ||||||||||||||
Provision (benefit) for income taxes | 416,042 | -496,738 | 375,435 | |||||||||||||
Results of operations (1) | $ | 624,091 | $ | -750,287 | $ | 588,219 | ||||||||||
Schedule of Proved Developed and Undeveloped Oil and Gas Reserve Quantities | ' | |||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||
Natural | Natural | Natural | ||||||||||||||
Gas | Oil | Gas | Oil | Gas | Oil | |||||||||||
(MMcf) | (MBbls) | (MMcf) | (MBbls) | (MMcf) | (MBbls) | |||||||||||
Proved reserves, beginning of year | 4,016,798 | 244 | 5,887,207 | 996 | 4,929,980 | 1,219 | ||||||||||
Revisions of previous estimates | 325,374 | 88 | -2,087,985 | -44 | 34,505 | -125 | ||||||||||
Extensions, discoveries and other additions | 3,283,495 | 229 | 918,594 | 154 | 1,459,428 | 2 | ||||||||||
Production | -655,704 | -188 | -564,484 | -83 | -499,433 | -97 | ||||||||||
Acquisition of reserves in place | 4,114 | – | – | – | 13 | – | ||||||||||
Disposition of reserves in place | – | – | -136,534 | -779 | -37,286 | -3 | ||||||||||
Proved reserves, end of year | 6,974,077 | 373 | 4,016,798 | 244 | 5,887,207 | 996 | ||||||||||
Proved developed reserves: | ||||||||||||||||
Beginning of year | 3,195,662 | 243 | 3,254,018 | 983 | 2,687,238 | 1,173 | ||||||||||
End of year | 4,237,495 | 372 | 3,195,662 | 243 | 3,254,018 | 983 | ||||||||||
Proved undeveloped reserves: | ||||||||||||||||
Beginning of year | 821,136 | 1 | 2,633,189 | 13 | 2,242,742 | 46 | ||||||||||
End of year | 2,736,582 | 1 | 821,136 | 1 | 2,633,189 | 13 | ||||||||||
Standardized Measure of Discounted Future Cash Flows Relating to Proved Reserves Disclosure | ' | |||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||
(in thousands) | ||||||||||||||||
Future cash inflows | $ | 22,624,562 | $ | 9,570,652 | $ | 22,012,205 | ||||||||||
Future production costs | -8,895,956 | -4,737,297 | -8,080,207 | |||||||||||||
Future development costs | -3,626,496 | -711,050 | -3,425,185 | |||||||||||||
Future income tax expense | -3,223,271 | -745,251 | -3,366,175 | |||||||||||||
Future net cash flows | 6,878,839 | 3,377,054 | 7,140,638 | |||||||||||||
10% annual discount for estimated timing of cash flows | -3,142,795 | -1,326,389 | -3,689,838 | |||||||||||||
Standardized measure of discounted future net cash flows | $ | 3,736,044 | $ | 2,050,665 | $ | 3,450,800 | ||||||||||
Schedule Of Analysis Of Changes In Standardized Measure | ' | |||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||
(in thousands) | ||||||||||||||||
Standardized measure, beginning of year | $ | 2,050,665 | $ | 3,450,800 | $ | 3,013,750 | ||||||||||
Sales and transfers of natural gas and oil produced, net of production costs | -1,774,043 | -1,443,606 | -1,632,156 | |||||||||||||
Net changes in prices and production costs | 1,852,772 | -2,604,591 | -381,131 | |||||||||||||
Extensions, discoveries, and other additions, net of future production and development costs | 1,454,634 | 549,601 | 1,163,992 | |||||||||||||
Acquisition of reserves in place | 4,914 | – | 30 | |||||||||||||
Sales of reserves in place | – | -157,108 | -11,761 | |||||||||||||
Revisions of previous quantity estimates | 348,996 | -1,109,409 | 34,221 | |||||||||||||
Accretion of discount | 232,385 | 480,315 | 426,245 | |||||||||||||
Net change in income taxes | -1,119,798 | 1,079,158 | -103,643 | |||||||||||||
Changes in estimated future development costs | -196,394 | 2,475,470 | 70,492 | |||||||||||||
Previously estimated development costs incurred during the year | 222,982 | 61,949 | 564,894 | |||||||||||||
Changes in production rates (timing) and other | 658,931 | -731,914 | 305,867 | |||||||||||||
Standardized measure, end of year | $ | 3,736,044 | $ | 2,050,665 | $ | 3,450,800 | ||||||||||
Derivatives_and_Risk_Managemen1
Derivatives and Risk Management (Tables) | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Derivatives And Risk Management [Abstract] | ' | ||||||||||
Balance Sheet Classification of Derivative Financial Instruments | ' | ||||||||||
Derivative Assets | |||||||||||
31-Dec-13 | 31-Dec-12 | ||||||||||
Balance Sheet Classification | Fair Value | Balance Sheet Classification | Fair Value | ||||||||
(in thousands) | |||||||||||
Derivatives designated as hedging | |||||||||||
instruments: | |||||||||||
Fixed price swaps | Derivative asset | $ | 20,631 | Derivative asset | $ | 279,443 | |||||
Fixed price swaps | Other long-term assets | – | Other long-term assets | 8,550 | |||||||
Total derivatives designated as hedging | $ | 20,631 | $ | 287,993 | |||||||
instruments | |||||||||||
Derivatives not designated as hedging | |||||||||||
instruments: | |||||||||||
Basis swaps | Derivative asset | $ | 12,858 | Derivative asset | $ | 3,250 | |||||
Fixed price swaps | Derivative asset | 37,382 | Derivative asset | – | |||||||
Basis swaps | Other long-term assets | 107 | Other long-term assets | 901 | |||||||
Interest rate swaps | Other long-term assets | 7,525 | Other long-term assets | – | |||||||
Total derivatives not designated as | $ | 57,872 | $ | 4,151 | |||||||
hedging instruments | |||||||||||
Total derivative assets | $ | 78,503 | $ | 292,144 | |||||||
Derivative Liabilities | |||||||||||
31-Dec-13 | 31-Dec-12 | ||||||||||
Balance Sheet Classification | Fair Value | Balance Sheet Classification | Fair Value | ||||||||
(in thousands) | |||||||||||
Derivatives designated as hedging | |||||||||||
instruments: | |||||||||||
Fixed price swaps | Other current liabilities | $ | 3,884 | Other current liabilities | $ | – | |||||
Total derivatives designated as hedging | $ | 3,884 | $ | – | |||||||
instruments | |||||||||||
Derivatives not designated as hedging | |||||||||||
instruments: | |||||||||||
Basis swaps | Other current liabilities | $ | 1,501 | Other current liabilities | $ | 138 | |||||
Fixed price swaps | Other current liabilities | 185 | Other current liabilities | – | |||||||
Fixed price call options | Other long-term liabilities | 30,388 | Other long-term liabilities | 4,128 | |||||||
Interest rate swaps | Other current liabilities | 1,520 | Other current liabilities | – | |||||||
Interest rate swaps | Other long-term liabilities | 3,012 | Other long-term liabilities | – | |||||||
Total derivatives not designated as | $ | 36,606 | $ | 4,266 | |||||||
hedging instruments | |||||||||||
Total derivative liabilities | $ | 40,490 | $ | 4,266 | |||||||
Fixed Price Swaps, Volumes of Natural Gas Production (in Bcf) | ' | ||||||||||
Year | Fixed price swaps | Fixed price swaps not designated for hedge accounting | Total | ||||||||
2014 | 200.7 | 181.6 | 382.3 | ||||||||
Before Tax Effect of Cash Flow Hedges on Consolidated Financial Statements | ' | ||||||||||
Gain Recognized in Other Comprehensive Income | |||||||||||
Comprehensive Income | |||||||||||
(Effective Portion) | |||||||||||
For the years ended | |||||||||||
December 31, | |||||||||||
Derivative Instrument | 2013 | 2012 | |||||||||
(in thousands) | |||||||||||
Fixed price swaps | $ | 37,931 | $ | 178,660 | |||||||
Costless-collars | $ | – | $ | 39,247 | |||||||
Classification of Gain | Gain Reclassified from Accumulated Other Comprehensive Income into Earnings | ||||||||||
Reclassified from Accumulated | (Effective Portion) | ||||||||||
Other Comprehensive Income | For the years ended | ||||||||||
into Earnings | December 31, | ||||||||||
Derivative Instrument | (Effective Portion) | 2013 | 2012 | ||||||||
(in thousands) | |||||||||||
Fixed price swaps | Gas Sales | $ | 309,177 | $ | 413,410 | ||||||
Costless-collars | Gas Sales | $ | – | $ | 218,119 | ||||||
Gain (Loss) Recognized in Earnings | |||||||||||
(Ineffective Portion) | |||||||||||
Classification of Gain (Loss) | For the years ended | ||||||||||
Recognized in Earnings | December 31, | ||||||||||
Derivative Instrument | (Ineffective Portion) | 2013 | 2012 | ||||||||
(in thousands) | |||||||||||
Fixed price swaps | Gas Sales | $ | -1,652 | $ | 2,450 | ||||||
Costless-collars | Gas Sales | $ | – | $ | -24 | ||||||
Before Tax Effect of Basis Swaps Not Qualifying for Hedge Accounting | ' | ||||||||||
Gain (Loss) on Derivatives, | |||||||||||
net of settlement | |||||||||||
Recognized in Earnings | |||||||||||
Consolidated Statement of Operations | For the years ended | ||||||||||
Classification of Gain (Loss) on | December 31, | ||||||||||
Derivative Instrument | Derivatives, net of settlement | 2013 | 2012 | ||||||||
(in thousands) | |||||||||||
Basis swaps | Gain (Loss) on Derivatives | $ | 7,450 | $ | 766 | ||||||
Fixed price call options | Gain (Loss) on Derivatives | -26,259 | -4,128 | ||||||||
Fixed price swaps | Gain (Loss) on Derivatives | 37,197 | – | ||||||||
Fair value swaps | Gain (Loss) on Derivatives | – | 1,208 | ||||||||
Interest rate swaps | Gain (Loss) on Derivatives | 2,992 | – | ||||||||
Gain (Loss) | |||||||||||
on Derivatives, Settled (1) | |||||||||||
Recognized in Earnings | |||||||||||
Consolidated Statement of Operations | For the years ended | ||||||||||
Classification of Gain (Loss) | December 31, | ||||||||||
Derivative Instrument | on Derivatives, Settled (1) | 2013 | 2012 | ||||||||
(in thousands) | |||||||||||
Basis swaps | Gain (Loss) on Derivatives | $ | 4,772 | $ | 2,162 | ||||||
Fair value swaps | Gain (Loss) on Derivatives | – | -14,958 | ||||||||
Interest rate swaps | Gain (Loss) on Derivatives | -11 | – | ||||||||
Reclassification_From_Accumula1
Reclassification From Accumulated Other Comprehensive Income (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Reclassification From Accumulated Other Comprehensive Income [Abstract] | ' | |||||||||||||||
Components Of Accumulated Other Comprehensive Income | ' | |||||||||||||||
For the year ended | ||||||||||||||||
31-Dec-13 | ||||||||||||||||
Gains and Losses on Cash Flow Hedges | Pension and Other Postretirement | Foreign Currency | Total | |||||||||||||
(in thousands) (1) | ||||||||||||||||
Beginning balance, December 31, 2012 | $ | 172,166 | $ | -22,311 | $ | -51 | $ | 149,804 | ||||||||
Other comprehensive income (loss) before reclassifications | 21,619 | – | -4,003 | 17,616 | ||||||||||||
Amounts reclassified (2) | -184,515 | 12,753 | – | -171,762 | ||||||||||||
Net current-period other comprehensive income (loss) | -162,896 | 12,753 | -4,003 | -154,146 | ||||||||||||
Ending balance, December 31, 2013 | $ | 9,270 | $ | -9,558 | $ | -4,054 | $ | -4,342 | ||||||||
-1 | All amounts are net of tax. | |||||||||||||||
-2 | See separate table below for details about these reclassifications. | |||||||||||||||
Amounts Reclassified From Accumulated Other Comprehensive Income | ' | |||||||||||||||
Details about Accumulated Other Comprehensive Income | Consolidated Statement of Operations Classification | |||||||||||||||
(in thousands) | ||||||||||||||||
Gains (losses) on cash flow hedges | ||||||||||||||||
Settlements | Gas sales | $ | 309,177 | |||||||||||||
Ineffectiveness | Gas sales | -1,652 | ||||||||||||||
Income before income taxes | 307,525 | |||||||||||||||
Provision for income taxes | 123,010 | |||||||||||||||
Net income | $ | 184,515 | ||||||||||||||
Pension and other postretirement | ||||||||||||||||
Amortization of prior service cost included in | General and administrative expenses | $ | -21,009 | |||||||||||||
net periodic pension cost (1) | ||||||||||||||||
Loss before income taxes | -21,009 | |||||||||||||||
Benefit for income taxes | -8,256 | |||||||||||||||
Net loss | $ | -12,753 | ||||||||||||||
Total reclassifications for the period | Net income | $ | 171,762 | |||||||||||||
-1 | Included in the computation of net periodic pension cost (see Note 12 for additional details). | |||||||||||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 12 Months Ended | |||||||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||||||
Fair Value Measurements [Abstract] | ' | |||||||||||||||||||||||||
Carrying Amount and Estimated Fair Values of Financial Instruments | ' | |||||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | |||||||||||||||||||||||||
Carrying | Fair | Carrying | Fair | |||||||||||||||||||||||
Amount | Value | Amount | Value | |||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||||
Cash and cash equivalents | $ | 22,938 | $ | 22,938 | $ | 53,583 | $ | 53,583 | ||||||||||||||||||
Restricted cash | $ | – | $ | – | $ | 8,542 | $ | 8,542 | ||||||||||||||||||
Credit facility | $ | 282,900 | $ | 282,900 | $ | – | $ | – | ||||||||||||||||||
Senior notes | $ | 1,668,396 | $ | 1,795,935 | $ | 1,669,473 | $ | 1,917,005 | ||||||||||||||||||
Derivative instruments, net | $ | 38,013 | $ | 38,013 | $ | 287,878 | $ | 287,878 | ||||||||||||||||||
Summary Assets and Liabilities Measured at Fair Value on Recurring Basis | ' | |||||||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||||||||
Fair Value Measurements Using: | ||||||||||||||||||||||||||
Quoted Prices | Significant | |||||||||||||||||||||||||
in Active | Other | Significant | ||||||||||||||||||||||||
Markets | Observable Inputs | Unobservable Inputs | Assets (Liabilities) | |||||||||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | at Fair Value | |||||||||||||||||||||||
Derivative assets | $ | – | $ | 65,538 | $ | 12,965 | $ | 78,503 | ||||||||||||||||||
Derivative liabilities | – | -8,601 | -31,889 | -40,490 | ||||||||||||||||||||||
Total | $ | – | $ | 56,937 | $ | -18,924 | $ | 38,013 | ||||||||||||||||||
31-Dec-12 | ||||||||||||||||||||||||||
Fair Value Measurements Using: | ||||||||||||||||||||||||||
Quoted Prices | Significant | |||||||||||||||||||||||||
in Active | Other | Significant | ||||||||||||||||||||||||
Markets | Observable Inputs | Unobservable Inputs | Assets (Liabilities) | |||||||||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | at Fair Value | |||||||||||||||||||||||
Derivative assets | $ | – | $ | 287,993 | $ | 4,151 | $ | 292,144 | ||||||||||||||||||
Derivative liabilities | – | – | -4,266 | -4,266 | ||||||||||||||||||||||
Total | $ | – | $ | 287,993 | $ | -115 | $ | 287,878 | ||||||||||||||||||
Assets Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs (Level 3), Reconciliation | ' | |||||||||||||||||||||||||
For the years ended | ||||||||||||||||||||||||||
December 31, | ||||||||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||||
Balance at beginning of period | $ | -115 | $ | 182,119 | ||||||||||||||||||||||
Total gains or losses (realized/unrealized): | ||||||||||||||||||||||||||
Included in earnings | -14,037 | 216,857 | ||||||||||||||||||||||||
Included in other comprehensive income | – | -178,847 | ||||||||||||||||||||||||
Purchases, issuances, and settlements: | ||||||||||||||||||||||||||
Purchases | – | – | ||||||||||||||||||||||||
Issuances | – | – | ||||||||||||||||||||||||
Settlements | -4,772 | -220,244 | ||||||||||||||||||||||||
Transfers into/out of Level 3 | – | – | ||||||||||||||||||||||||
Balance at end of period | $ | -18,924 | $ | -115 | ||||||||||||||||||||||
Change in unrealized gains included in earnings relating to derivatives still held as of December 31 | $ | -18,809 | $ | -3,362 | ||||||||||||||||||||||
Debt_Tables
Debt (Tables) | 12 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Debt [Abstract] | ' | ||||||
Components Of Debt | ' | ||||||
2013 | 2012 | ||||||
(in thousands) | |||||||
Short-term debt: | |||||||
7.15% Senior Notes due 2018 | $ | 1,200 | $ | 1,200 | |||
Total short-term debt (1) | 1,200 | 1,200 | |||||
Long-term debt: | |||||||
Variable rate (1.64% and 2.20% at December 31, 2013 and December 31, 2012, | 282,900 | – | |||||
respectively) Credit Facility, expires December 2018 | |||||||
7.35% Senior Notes due 2017 | 15,000 | 15,000 | |||||
7.125% Senior Notes due 2017 | 25,000 | 25,000 | |||||
7.15% Senior Notes due 2018 | 28,200 | 29,400 | |||||
7.5% Senior Notes due 2018 | 600,000 | 600,000 | |||||
4.10% Senior Notes due 2022 | 1,000,000 | 1,000,000 | |||||
Unamortized discount | -1,004 | -1,127 | |||||
Total long-term debt | 1,950,096 | 1,668,273 | |||||
Total debt | $ | 1,951,296 | $ | 1,669,473 | |||
(1) Short-term debt is included in Other current liabilities. | |||||||
Schedule of Long Term Debt Maturities | ' | ||||||
2015 | 1,200 | ||||||
2016 | 1,200 | ||||||
2017 | 41,200 | ||||||
2018 | 907,500 | ||||||
Thereafter | 1,000,000 | ||||||
$ | 1,951,100 | ||||||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | |||||||||
Dec. 31, 2013 | ||||||||||
Income Taxes [Abstract] | ' | |||||||||
Provision (Benefit) For Income Taxes | ' | |||||||||
2013 | 2012 | 2011 | ||||||||
(in thousands) | ||||||||||
Current: | ||||||||||
Federal | $ | -12,151 | $ | 15,500 | $ | 3,378 | ||||
State | 1,080 | 3,189 | 820 | |||||||
-11,071 | 18,689 | 4,198 | ||||||||
Deferred: | ||||||||||
Federal | 409,359 | -388,209 | 345,922 | |||||||
State | 87,823 | -71,582 | 60,941 | |||||||
Foreign | 763 | -2,037 | 2,160 | |||||||
497,945 | -461,828 | 409,023 | ||||||||
Provision (benefit) for income taxes | $ | 486,874 | $ | -443,139 | $ | 413,221 | ||||
Reconciliation Of Provision For Income Taxes | ' | |||||||||
2013 | 2012 | 2011 | ||||||||
(in thousands) | ||||||||||
Expected provision (benefit) at federal statutory rate | $ | 416,632 | $ | -402,571 | $ | 367,854 | ||||
Increase (decrease) resulting from: | ||||||||||
State income taxes, net of federal income tax effect | 53,130 | -44,454 | 40,145 | |||||||
Nondeductible expenses | 3,404 | 2,100 | 1,244 | |||||||
Other | 13,708 | 1,786 | 3,978 | |||||||
Provision (benefit) for income taxes | $ | 486,874 | $ | -443,139 | $ | 413,221 | ||||
Schedule of Deferred Tax Assets and Liabilities | ' | |||||||||
2013 | 2012 | |||||||||
(in thousands) | ||||||||||
Deferred tax liabilities: | ||||||||||
Differences between book and tax basis of property | $ | 2,114,685 | $ | 1,441,149 | ||||||
Cash flow hedges | 13,171 | 112,625 | ||||||||
Other | 10,715 | 4,460 | ||||||||
2,138,571 | 1,558,234 | |||||||||
Deferred tax assets: | ||||||||||
Accrued compensation | 15,718 | 16,387 | ||||||||
Alternative minimum tax credit carryforward | 76,864 | 89,016 | ||||||||
Stored natural gas | 9,272 | 7,812 | ||||||||
Accrued pension costs | 1,821 | 7,686 | ||||||||
Asset retirement obligations | 53,419 | 39,249 | ||||||||
Net operating loss carryforward | 411,994 | 217,276 | ||||||||
Differences between book and tax basis of property - state | 11,045 | 16,872 | ||||||||
Other | 7,405 | 12,354 | ||||||||
587,538 | 406,652 | |||||||||
Net deferred tax liability | $ | 1,551,033 | $ | 1,151,582 | ||||||
Asset_Retirement_Obligations_T
Asset Retirement Obligations (Tables) | 12 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Asset Retirement Obligation [Abstract] | ' | ||||||
Schedule of Asset Retirement Obligations | ' | ||||||
2013 | 2012 | ||||||
(in thousands) | |||||||
Asset retirement obligation at January 1 | $ | 100,637 | $ | 37,693 | |||
Accretion of discount | 5,643 | 2,394 | |||||
Obligations incurred | 22,241 | 23,327 | |||||
Obligations settled/removed | -2,341 | -8,804 | |||||
Revisions of estimates | 7,366 | 46,027 | |||||
Asset retirement obligation at December 31 | $ | 133,546 | $ | 100,637 | |||
Current liability | 5,549 | 4,091 | |||||
Long-term liability | 127,997 | 96,546 | |||||
Asset retirement obligation at December 31 | $ | 133,546 | $ | 100,637 | |||
Retirement_and_Employee_Benefi1
Retirement and Employee Benefit Plans (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
Retirement and Employee Benefit Plans [Abstract] | ' | |||||||||||||||||||
Changes In The Plans Benefit Obligations | ' | |||||||||||||||||||
Other Postretirement | ||||||||||||||||||||
Pension Benefits | Benefits | |||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||
(in thousands) | ||||||||||||||||||||
Change in benefit obligations: | ||||||||||||||||||||
Benefit obligation at January 1 | $ | 105,432 | $ | 81,738 | $ | 11,464 | $ | 6,793 | ||||||||||||
Service cost | 13,789 | 10,942 | 2,296 | 1,832 | ||||||||||||||||
Interest cost | 4,104 | 4,050 | 441 | 398 | ||||||||||||||||
Participant contributions | – | – | 24 | 21 | ||||||||||||||||
Actuarial loss | -11,107 | 14,981 | -1,706 | 2,525 | ||||||||||||||||
Benefits paid | -8,492 | -6,951 | -139 | -105 | ||||||||||||||||
Plan amendments | – | 672 | – | – | ||||||||||||||||
Settlements | -520 | – | – | – | ||||||||||||||||
Benefit obligation at December 31 | $ | 103,206 | $ | 105,432 | $ | 12,380 | $ | 11,464 | ||||||||||||
Changes In The Plans Benefit Assets And Funded Status | ' | |||||||||||||||||||
Other Postretirement | ||||||||||||||||||||
Pension Benefits | Benefits | |||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||
(in thousands) | ||||||||||||||||||||
Change in plan assets: | ||||||||||||||||||||
Fair value of plan assets at January 1 | $ | 83,347 | $ | 68,023 | $ | – | $ | – | ||||||||||||
Actual return on plan assets | 12,471 | 11,191 | – | – | ||||||||||||||||
Employer contributions | 12,520 | 11,084 | 115 | 84 | ||||||||||||||||
Participant contributions | – | – | 24 | 21 | ||||||||||||||||
Benefits paid | -8,492 | -6,951 | -139 | -105 | ||||||||||||||||
Settlements | -507 | – | – | – | ||||||||||||||||
Fair value of plan assets at December 31 | $ | 99,339 | $ | 83,347 | $ | – | $ | – | ||||||||||||
Funded status of plans at December 31 | $ | -3,867 | $ | -22,085 | $ | -12,380 | $ | -11,464 | ||||||||||||
Pension And Other Postretirement Benefit Costs | ' | |||||||||||||||||||
Other Postretirement | ||||||||||||||||||||
Pension Benefits | Benefits | |||||||||||||||||||
2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||
(in thousands) | ||||||||||||||||||||
Service cost | $ | 13,789 | $ | 10,942 | $ | 9,323 | $ | 2,296 | $ | 1,832 | $ | 1,354 | ||||||||
Interest cost | 4,104 | 4,050 | 3,671 | 441 | 398 | 252 | ||||||||||||||
Expected return on plan assets | -6,136 | -5,426 | -4,398 | – | – | – | ||||||||||||||
Amortization of transition | – | – | – | – | 64 | 64 | ||||||||||||||
obligation | ||||||||||||||||||||
Amortization of prior service cost | 103 | 286 | 344 | 14 | 14 | 14 | ||||||||||||||
Amortization of net loss | 1,541 | 1,220 | 856 | 120 | 93 | 11 | ||||||||||||||
Net periodic benefit cost | 13,401 | 11,072 | 9,796 | 2,871 | 2,401 | 1,695 | ||||||||||||||
Settlements and curtailments | 70 | – | – | – | – | – | ||||||||||||||
Total benefit cost | $ | 13,471 | $ | 11,072 | $ | 9,796 | $ | 2,871 | $ | 2,401 | $ | 1,695 | ||||||||
Projected Benefit Obligation, Accumulated Benefit Obligation, And Fair Value Of Plan Assets | ' | |||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Projected benefit obligation | $ | 103,206 | $ | 105,432 | ||||||||||||||||
Accumulated benefit obligation | $ | 100,208 | $ | 100,379 | ||||||||||||||||
Fair value of plan assets | $ | 99,339 | $ | 83,347 | ||||||||||||||||
Amounts Recognized In Other Comprehensive Income | ' | |||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | |||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Net actuarial gain arising during the year | $ | 17,454 | $ | 1,706 | ||||||||||||||||
Amortization of prior service cost | 104 | 14 | ||||||||||||||||||
Amortization of net loss | 1,541 | 120 | ||||||||||||||||||
Settlements | 70 | – | ||||||||||||||||||
Tax effect | -7,535 | -721 | ||||||||||||||||||
$ | 11,634 | $ | 1,119 | |||||||||||||||||
Assumptions Used In The Measurement Of Benefit Obligations | ' | |||||||||||||||||||
Pension Benefits | Other Postretirement | |||||||||||||||||||
Benefits | ||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||
Discount rate | 5.00 | % | 4.00 | % | 5.00 | % | 4.00 | % | ||||||||||||
Rate of compensation increase | 4.50 | % | 4.50 | % | n/a | n/a | ||||||||||||||
Assumptions Used In The Measurement Of Net Periodic Benefit Cost | ' | |||||||||||||||||||
Pension Benefits | Other Postretirement | |||||||||||||||||||
Benefits | ||||||||||||||||||||
2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||
Discount rate | 4.00 | % | 5.00 | % | 5.50 | % | 4.00 | % | 5.00 | % | 5.50 | % | ||||||||
Expected return on plan assets | 7.00 | % | 7.50 | % | 7.50 | % | n/a | n/a | n/a | |||||||||||
Rate of compensation increase | 4.50 | % | 4.50 | % | 4.50 | % | n/a | n/a | n/a | |||||||||||
Measurement Purposes Following Trend Rates Were Assumed | ' | |||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Health care cost trend assumed for next year | 8 | % | 8 | % | ||||||||||||||||
Rate to which the cost trend is assumed to decline | 5 | % | 5 | % | ||||||||||||||||
Year that the rate reaches the ultimate trend rate | 2032 | 2031 | ||||||||||||||||||
One Percentage Point Change In Assumed Health Care Cost Trend Rates | ' | |||||||||||||||||||
1% | 1% | |||||||||||||||||||
Increase | Decrease | |||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Effect on the total service and interest cost components | $ | 457 | $ | -373 | ||||||||||||||||
Effect on postretirement benefit obligations | $ | 1,693 | $ | -1,413 | ||||||||||||||||
Benefit Payments Which Reflect Expected Future Service | ' | |||||||||||||||||||
Pension Benefits | Other | |||||||||||||||||||
Postretirement | ||||||||||||||||||||
Benefits | ||||||||||||||||||||
(in thousands) | ||||||||||||||||||||
2014 | $ | 6,384 | $ | 404 | ||||||||||||||||
2015 | $ | 6,280 | $ | 542 | ||||||||||||||||
2016 | $ | 8,075 | $ | 730 | ||||||||||||||||
2017 | $ | 8,553 | $ | 801 | ||||||||||||||||
2018 | $ | 9,517 | $ | 994 | ||||||||||||||||
Years 2019-2023 | $ | 58,894 | $ | 7,545 | ||||||||||||||||
Plan Assets Allocation To Any Asset Class Falls Outside Of The Specified Range | ' | |||||||||||||||||||
Pension Plan Asset | ||||||||||||||||||||
Allocations | ||||||||||||||||||||
Asset category: | Target | Actual | ||||||||||||||||||
U.S. Equity(1) | 35 | % | 36 | % | ||||||||||||||||
Non-U.S. Developed Equity(2) | 30 | % | 31 | % | ||||||||||||||||
Emerging Markets Equity(3) | 5 | % | 6 | % | ||||||||||||||||
Opportunistic(4) | – | % | – | % | ||||||||||||||||
Fixed income(5) | 29 | % | 26 | % | ||||||||||||||||
Cash(6) | 1 | % | 1 | % | ||||||||||||||||
Total | 100 | % | 100 | % | ||||||||||||||||
(1) Asset category above includes the following equity securities in the table below: U.S large cap growth equity, U.S. large cap value equity, U.S. large | ||||||||||||||||||||
cap core equity, and U.S. small cap equity. | ||||||||||||||||||||
(2) Asset category above includes Non-U.S. equity securities in the table below. | ||||||||||||||||||||
(3) Asset category above includes Emerging markets equity securities below. | ||||||||||||||||||||
(4) Asset category above includes none of the securities in the table below. | ||||||||||||||||||||
(5) Asset category above includes Fixed income pension plan assets in the table below. | ||||||||||||||||||||
(6) Asset category above includes Cash and cash equivalents pension plan assets in the table below. | ||||||||||||||||||||
Fair Value Measurement Of Pension Plan Assets | ' | |||||||||||||||||||
Asset category: | Total | Quoted Prices in Active Markets for Identical Assets | Significant Observable Inputs | Significant Unobservable Inputs | ||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | ||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Equity securities: | ||||||||||||||||||||
U.S. large cap growth equity(1) | $ | 7,660 | $ | 7,660 | $ | – | $ | – | ||||||||||||
U.S. large cap value equity(2) | 8,174 | 8,174 | – | – | ||||||||||||||||
U.S. large cap core equity(3) | 16,438 | – | 16,438 | – | ||||||||||||||||
U.S. small cap equity(4) | 3,245 | 3,245 | – | – | ||||||||||||||||
Non-U.S. equity(5) | 30,628 | 30,628 | – | – | ||||||||||||||||
Emerging markets equity(6) | 6,374 | – | 6,374 | – | ||||||||||||||||
Fixed income (7) | 25,523 | – | 25,523 | – | ||||||||||||||||
Cash and cash equivalents | 1,296 | 1,296 | – | – | ||||||||||||||||
Total | $ | 99,338 | $ | 51,003 | $ | 48,335 | $ | – | ||||||||||||
(1)Mutual fund that seeks to invest in a diversified portfolio of stocks with price appreciation growth opportunities. | ||||||||||||||||||||
(2)Mutual fund that seeks to invest in a diversified portfolio of stocks that will increase in value over the long-term as well as provide current income. | ||||||||||||||||||||
(3)An institutional fund that seeks to replicate the performance of the S&P 500 Index before fees. | ||||||||||||||||||||
(4)Mutual fund that seeks to invest in a diversified portfolio of stocks with small market capitalizations. | ||||||||||||||||||||
(5)Mutual funds that invest primarily in equity securities of companies domiciled outside of the United States, primarily in developed markets. | ||||||||||||||||||||
(6)An institutional fund that invests primarily in the equity securities of companies domiciled in emerging markets. | ||||||||||||||||||||
(7)Institutional funds that seek an investment return that approximates, as closely as practicable, before expenses, the performance of the Barclays U.S. Intermediate Credit Bond Index over the long term and the Barclays Long U.S. Corporate Bond Index over the long-term. | ||||||||||||||||||||
Utilizing GAAP’s fair value hierarchy, the Company’s fair value measurement of pension plan assets at December 31, 2012 are as follows: | ||||||||||||||||||||
Asset category: | Total | Quoted Prices in Active Markets for Identical Assets | Significant Observable Inputs | Significant Unobservable Inputs | ||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | ||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Equity securities: | ||||||||||||||||||||
U.S. large cap growth equity(1) | $ | 4,588 | $ | 4,588 | $ | – | $ | – | ||||||||||||
U.S. large cap value equity(2) | 5,257 | 5,257 | – | – | ||||||||||||||||
U.S. large cap core equity(3) | 11,564 | – | 11,564 | – | ||||||||||||||||
U.S. small cap equity(4) | 2,792 | 2,792 | – | – | ||||||||||||||||
Non-U.S. equity(5) | 21,891 | 21,891 | – | – | ||||||||||||||||
Emerging markets equity(6) | 4,454 | – | 4,454 | – | ||||||||||||||||
Fixed income (7) | 31,021 | – | 31,021 | – | ||||||||||||||||
Cash and cash equivalents | 1,780 | 1,780 | – | – | ||||||||||||||||
Total | $ | 83,347 | $ | 36,308 | $ | 47,039 | $ | – | ||||||||||||
(1)Mutual fund that seeks to invest in a diversified portfolio of stocks with price appreciation growth opportunities. | ||||||||||||||||||||
(2)Mutual fund that seeks to invest in a diversified portfolio of stocks that will increase in value over the long-term as well as provide current income. | ||||||||||||||||||||
(3)An institutional fund that seeks to replicate the performance of the S&P 500 Index before fees. | ||||||||||||||||||||
(4)Mutual fund that seeks to invest in a diversified portfolio of stocks with small market capitalizations. | ||||||||||||||||||||
(5)Mutual funds that invest primarily in equity securities of companies domiciled outside of the United States, primarily in developed markets. | ||||||||||||||||||||
(6)An institutional fund that invests primarily in the equity securities of companies domiciled in emerging markets. | ||||||||||||||||||||
(7)An institutional fund that seeks to replicate the performance of the Barclays Capital Long-Term Corporate Bond Index before fees through a sampling process. | ||||||||||||||||||||
StockBased_Compensation_Tables
Stock-Based Compensation (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Schedule Of Risk Free Interest Rate | ' | ||||||||||||||||||||
Assumptions | 2013 | 2012 | 2011 | ||||||||||||||||||
Risk-free interest rate | 1.5% | 0.6% | 0.9% | ||||||||||||||||||
Expected dividend yield | – | – | – | ||||||||||||||||||
Expected volatility | 38.6% | 58.2% | 58.1% | ||||||||||||||||||
Expected term | 5 years | 5 years | 5 years | ||||||||||||||||||
Summary of Stock Option Activity, Options Outstanding | ' | ||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Weighted | Weighted | Weighted | |||||||||||||||||||
Average | Average | Average | |||||||||||||||||||
Number | Exercise | Number | Exercise | Number | Exercise | ||||||||||||||||
of Shares | Price | of Shares | Price | of Shares | Price | ||||||||||||||||
Options outstanding at January 1 | 3,649,520 | $ | 29.84 | 4,741,732 | $ | 21.24 | 4,769,122 | $ | 16.13 | ||||||||||||
Granted | 571,166 | 38.95 | 613,120 | 34.34 | 853,478 | 36.64 | |||||||||||||||
Exercised | -833,132 | 12.12 | -1,607,784 | 5.71 | -850,659 | 7.54 | |||||||||||||||
Forfeited or expired | -74,861 | 37.31 | -97,548 | 37.76 | -30,209 | 35.46 | |||||||||||||||
Options outstanding at December 31 | 3,312,693 | $ | 35.70 | 3,649,520 | $ | 29.84 | 4,741,732 | $ | 21.24 | ||||||||||||
Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range [Table Text Block] | ' | ||||||||||||||||||||
Options Outstanding | Options Exercisable | ||||||||||||||||||||
Weighted | Weighted | ||||||||||||||||||||
Average | Average | ||||||||||||||||||||
Options | Weighted | Remaining | Aggregate | Options | Weighted | Remaining | Aggregate | ||||||||||||||
Outstanding at | Average | Contractual | Intrinsic | Exercisable at | Average | Contractual | Intrinsic | ||||||||||||||
Range of | December 31, | Exercise | Life | Value | December 31, | Exercise | Life | Value | |||||||||||||
Exercise Prices | 2013 | Price | (Years) | (thousands) | 2013 | Price | (Years) | (thousands) | |||||||||||||
$20.34-$29.69 | 273,134 | 27.31 | 1.2 | 265,025 | 27.29 | 1.1 | |||||||||||||||
$30.23-$35.91 | 1,087,218 | 33.09 | 4.3 | 677,387 | 32.32 | 3.4 | |||||||||||||||
$36.22-$39.91 | 1,587,066 | 37.56 | 5.4 | 803,412 | 36.74 | 4.4 | |||||||||||||||
$40.15-$51.47 | 365,275 | 41.64 | 3.0 | 358,004 | 41.62 | 2.9 | |||||||||||||||
3,312,693 | $ | 35.70 | 4.4 | $ | 12,882 | 2,103,828 | $ | 34.96 | 2.9 | $ | 10,022 | ||||||||||
Summary of Restricted Stock Activity and Unvested Shares | ' | ||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Weighted | Weighted | Weighted | |||||||||||||||||||
Average | Average | Average | |||||||||||||||||||
Number | Grant Date | Number | Grant Date | Number | Grant Date | ||||||||||||||||
of Shares | Fair Value | of Shares | Fair Value | of Shares | Fair Value | ||||||||||||||||
Unvested shares at January 1 | 1,117,515 | $ | 35.64 | 1,019,737 | $ | 36.71 | 834,058 | $ | 36.24 | ||||||||||||
Granted | 1,108,852 | 38.92 | 537,244 | 34.39 | 532,754 | 36.41 | |||||||||||||||
Vested | -381,676 | 36.29 | -344,164 | 36.50 | -294,358 | 34.90 | |||||||||||||||
Forfeited | -73,769 | 35.81 | -95,302 | 36.97 | -52,717 | 36.45 | |||||||||||||||
Unvested shares at December 31 | 1,770,922 | $ | 37.55 | 1,117,515 | $ | 35.64 | 1,019,737 | $ | 36.71 | ||||||||||||
Stock Options [Member] | ' | ||||||||||||||||||||
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Text Block] | ' | ||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Stock-based compensation cost related to stock options – general and administrative expense | $ | 5,494 | $ | 5,427 | $ | 4,959 | |||||||||||||||
Stock-based compensation cost related to stock options – capitalized | $ | 4,812 | $ | 4,468 | $ | 3,365 | |||||||||||||||
Restricted Stock [Member] | ' | ||||||||||||||||||||
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Text Block] | ' | ||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Stock-based compensation cost related to restricted stock grants | $ | 7,432 | $ | 6,368 | $ | 5,591 | |||||||||||||||
– general and administrative expense | |||||||||||||||||||||
Stock-based compensation cost related to restricted stock grants | $ | 7,469 | $ | 5,994 | $ | 5,162 | |||||||||||||||
– capitalized | |||||||||||||||||||||
Segment_Information_Tables
Segment Information (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Segment Information [Abstract] | ' | ||||||||||||
Summary Financial Information for Company's Reportable Segments Table | ' | ||||||||||||
Exploration | |||||||||||||
and | Midstream | ||||||||||||
Production | Services | Other | Total | ||||||||||
(in thousands) | |||||||||||||
2013 | |||||||||||||
Revenues from external customers | $ | 2,398,214 | $ | 972,832 | $ | 99 | $ | 3,371,145 | |||||
Intersegment revenues | 5,951 | 2,373,851 | 241 | 2,380,043 | |||||||||
Operating income (loss) | 878,701 | 325,435 | -513 | 1,203,623 | |||||||||
Other income (loss), net | 2,741 | -1 | -533 | 2,207 | |||||||||
Gain (loss) on derivatives | 25,670 | 480 | -9 | 26,141 | |||||||||
Depreciation, depletion and amortization expense | 735,215 | 50,940 | 457 | 786,612 | |||||||||
Interest expense(2) | 30,244 | 10,619 | 731 | 41,594 | |||||||||
Provision (benefit) for income taxes(2) | 368,320 | 119,223 | -669 | 486,874 | |||||||||
Assets | 6,356,799 | -3 | 1,427,294 | 263,633 | 8,047,726 | ||||||||
Capital investments(4) | 2,052,148 | 157,635 | 25,014 | 2,234,797 | |||||||||
2012 | |||||||||||||
Revenues from external customers | $ | 1,964,624 | $ | 765,255 | $ | 114 | $ | 2,729,993 | |||||
Intersegment revenues | -1,452 | 1,598,225 | 2,751 | 1,599,524 | |||||||||
Operating income (loss) (1) | -1,396,261 | 294,302 | 1,333 | -1,100,626 | |||||||||
Other income (loss), net | -1,156 | 132 | 2,054 | 1,030 | |||||||||
Loss on derivatives | -14,950 | – | – | -14,950 | |||||||||
Depreciation, depletion and amortization expense | 765,368 | 44,395 | 1,190 | 810,953 | |||||||||
Impairment of natural gas and oil properties | 1,939,734 | – | – | 1,939,734 | |||||||||
Interest expense(2) | 20,315 | 14,341 | 1,001 | 35,657 | |||||||||
Provision for income taxes(2) | -548,556 | 104,522 | 895 | -443,139 | |||||||||
Assets | 5,193,733 | -3 | 1,273,228 | 270,566 | 6,737,527 | ||||||||
Capital investments(4) | 1,860,681 | 164,978 | 54,860 | 2,080,519 | |||||||||
2011 | |||||||||||||
Revenues from external customers | $ | 2,087,189 | $ | 864,096 | $ | 47 | $ | 2,951,332 | |||||
Intersegment revenues | 11,725 | 1,995,423 | 3,221 | 2,010,369 | |||||||||
Operating income | 823,564 | 247,952 | 1,711 | 1,073,227 | |||||||||
Other income (loss), net | 328 | -91 | 27 | 264 | |||||||||
Gain on derivatives | 1,574 | – | – | 1,574 | |||||||||
Depreciation, depletion and amortization expense | 666,125 | 37,261 | 1,125 | 704,511 | |||||||||
Interest expense(2) | 9,026 | 15,049 | – | 24,075 | |||||||||
Provision for income taxes(2) | 322,714 | 90,221 | 286 | 413,221 | |||||||||
Assets | 6,547,117 | -3 | 1,119,861 | 235,919 | 7,902,897 | ||||||||
Capital investments(4) | 1,977,493 | 160,776 | 68,905 | 2,207,174 | |||||||||
(1)The operating loss for the E&P segment for the twelve months ended December 31, 2012 includes a $1,939.7 million non-cash ceiling test impairment of our natural gas and oil properties. | |||||||||||||
(2) Interest expense and the provision (benefit) for income taxes by segment are an allocation of corporate amounts as they are incurred at the corporate level. | |||||||||||||
(3)Includes office, technology, drilling rigs and other ancillary equipment not directly related to natural gas and oil property acquisition, exploration and development activities. | |||||||||||||
(4)Capital investments include a decrease of $24.9 million for 2013, a decrease of $36.9 million for 2012 and an increase of $4.3 million for 2011 related to the change in accrued expenditures between years. | |||||||||||||
Quarterly_Results_Unaudited_Ta
Quarterly Results (Unaudited) (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Quarterly Financial Data [Abstract] | ' | ||||||||||||
Schedule of Quarterly Financial Information [Table Text Block] | ' | ||||||||||||
1st Quarter | 2nd Quarter | 3rd Quarter | 4th Quarter | ||||||||||
(in thousands, except per share amounts) | |||||||||||||
2013 | |||||||||||||
Operating revenues | $ | 733,649 | $ | 862,041 | $ | 868,366 | $ | 907,089 | |||||
Operating income | 251,960 | 325,317 | 309,229 | 317,117 | |||||||||
Net income | 127,515 | 245,631 | 185,867 | 144,490 | |||||||||
Earnings per share - Basic | 0.36 | 0.70 | 0.53 | 0.41 | |||||||||
Earnings per share - Diluted | 0.36 | 0.70 | 0.53 | 0.41 | |||||||||
2012 | |||||||||||||
Operating revenues | $ | 654,835 | $ | 606,076 | $ | 691,727 | $ | 777,355 | |||||
Operating income (1) | 184,326 | -646,046 | -65,959 | -572,947 | |||||||||
Net income | 107,704 | -405,132 | -54,053 | -355,583 | |||||||||
Earnings per share - Basic | 0.31 | -1.16 | -0.16 | -1.02 | |||||||||
Earnings per share - Diluted | 0.31 | -1.16 | -0.16 | -1.02 | |||||||||
(1) 2012 Operating income includes an impairment charge for the full year of $1,939.7 million. | |||||||||||||
Condensed_Consolidating_Financ1
Condensed Consolidating Financial Information (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Condensed Consolidating Financial Information [Abstract] | ' | |||||||||||||||
Condensed Consolidating Statements of Operations | ' | |||||||||||||||
CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS | ||||||||||||||||
Parent | Former | Other | Eliminations | Consolidated | ||||||||||||
Guarantors | Subsidiaries | |||||||||||||||
(in thousands) | ||||||||||||||||
Year ended December 31, 2012: | ||||||||||||||||
Operating revenues | $ | – | $ | 2,556,634 | $ | 476,997 | $ | -303,638 | $ | 2,729,993 | ||||||
Operating costs and expenses: | ||||||||||||||||
Gas purchases | – | 593,091 | – | -625 | 592,466 | |||||||||||
Operating expenses | – | 423,147 | 121,953 | -300,365 | 244,735 | |||||||||||
General and administrative expenses | – | 151,488 | 26,307 | -2,648 | 175,147 | |||||||||||
Depreciation, depletion and amortization | – | 765,623 | 45,330 | – | 810,953 | |||||||||||
Impairment of natural gas and oil | – | 1,939,734 | – | – | 1,939,734 | |||||||||||
properties | ||||||||||||||||
Taxes, other than income taxes | – | 56,262 | 11,321 | 1 | 67,584 | |||||||||||
Total operating costs and expenses | – | 3,929,345 | 204,911 | -303,637 | 3,830,619 | |||||||||||
Operating income (loss) | – | -1,372,711 | 272,086 | -1 | -1,100,626 | |||||||||||
Other income (loss), net | – | -1,143 | 2,173 | – | 1,030 | |||||||||||
Gain (loss) on derivatives | – | -14,950 | – | – | -14,950 | |||||||||||
Equity in earnings of subsidiaries | -707,064 | – | – | 707,064 | – | |||||||||||
Interest expense | – | 22,312 | 13,345 | – | 35,657 | |||||||||||
Income (loss) before income taxes | -707,064 | -1,411,116 | 260,914 | 707,063 | -1,150,203 | |||||||||||
Provision (benefit) for income taxes | – | -538,357 | 95,218 | – | -443,139 | |||||||||||
Net income (loss) | -707,064 | -872,759 | 165,696 | 707,063 | -707,064 | |||||||||||
Comprehensive income (loss) | $ | -965,688 | $ | -1,125,454 | $ | 166,225 | $ | 959,229 | $ | -965,688 | ||||||
Year ended December 31, 2011: | ||||||||||||||||
Operating revenues | $ | – | $ | 2,801,811 | $ | 411,998 | $ | -262,477 | $ | 2,951,332 | ||||||
Operating costs and expenses: | ||||||||||||||||
Gas purchases | – | 710,487 | – | -1,396 | 709,091 | |||||||||||
Operating expenses | – | 380,154 | 118,713 | -257,923 | 240,944 | |||||||||||
General and administrative expenses | – | 141,499 | 19,700 | -3,158 | 158,041 | |||||||||||
Depreciation, depletion and amortization | – | 665,615 | 38,896 | – | 704,511 | |||||||||||
Taxes, other than income taxes | – | 53,950 | 11,568 | – | 65,518 | |||||||||||
Total operating costs and expenses | – | 1,951,705 | 188,877 | -262,477 | 1,878,105 | |||||||||||
Operating income | – | 850,106 | 223,121 | – | 1,073,227 | |||||||||||
Other income (loss), net | – | 306 | -42 | – | 264 | |||||||||||
Gain (loss) on derivatives | – | 1,574 | – | – | 1,574 | |||||||||||
Equity in earnings of subsidiaries | 637,769 | – | – | -637,769 | – | |||||||||||
Interest expense | – | 11,277 | 12,798 | – | 24,075 | |||||||||||
Income (loss) before income taxes | 637,769 | 840,709 | 210,281 | -637,769 | 1,050,990 | |||||||||||
Provision for income taxes | – | 332,795 | 80,426 | – | 413,221 | |||||||||||
Net income (loss) | 637,769 | 507,914 | 129,855 | -637,769 | 637,769 | |||||||||||
Comprehensive income (loss) | $ | 962,222 | $ | 836,291 | $ | 129,294 | $ | -965,585 | $ | 962,222 | ||||||
Condensed Consolidating Statements of Cash Flows | ' | |||||||||||||||
CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS | ||||||||||||||||
Parent | Former | Other | Eliminations | Consolidated | ||||||||||||
Guarantors | Subsidiaries | |||||||||||||||
(in thousands) | ||||||||||||||||
Year ended December 31, 2012: | ||||||||||||||||
Net cash provided by operating activities | $ | -39,934 | $ | 1,278,673 | $ | 415,203 | $ | – | $ | 1,653,942 | ||||||
Investing activities: | ||||||||||||||||
Capital investments | -36,918 | -1,868,487 | -202,350 | – | -2,107,755 | |||||||||||
Proceeds from sale of property and equipment | 26,006 | 169,149 | 5,946 | – | 201,101 | |||||||||||
Transfers to restricted cash | -167,788 | – | – | – | -167,788 | |||||||||||
Transfers from restricted cash | 159,245 | 1 | – | – | 159,246 | |||||||||||
Other | -696 | -35,792 | 45,007 | – | 8,519 | |||||||||||
Net cash used in investing activities | -20,151 | -1,735,129 | -151,397 | – | -1,906,677 | |||||||||||
Financing activities: | ||||||||||||||||
Intercompany activities | -198,023 | 462,443 | -264,420 | – | – | |||||||||||
Payments on current portion of long-term debt | -1,200 | – | – | – | -1,200 | |||||||||||
Payments on revolving long-term debt | -2,263,900 | – | – | – | -2,263,900 | |||||||||||
Borrowings under revolving long-term debt | 1,592,400 | – | – | – | 1,592,400 | |||||||||||
Proceeds from issuance of long-term debt | 998,780 | – | – | – | 998,780 | |||||||||||
Other | -35,192 | 1 | – | – | -35,191 | |||||||||||
Net cash provided by (used in) financing activities | 92,865 | 462,444 | -264,420 | – | 290,889 | |||||||||||
Effect of exchange rate changes on cash | – | – | -198 | – | -198 | |||||||||||
Increase (decrease) in cash and cash equivalents | 32,780 | 5,988 | -812 | – | 37,956 | |||||||||||
Cash and cash equivalents at beginning of year | 14,711 | – | 916 | – | 15,627 | |||||||||||
Cash and cash equivalents at end of period | $ | 47,491 | $ | 5,988 | $ | 104 | $ | – | $ | 53,583 | ||||||
Year ended December 31, 2011: | ||||||||||||||||
Net cash provided by operating activities | $ | 14,688 | $ | 1,482,853 | $ | 242,276 | $ | – | $ | 1,739,817 | ||||||
Investing activities: | ||||||||||||||||
Capital investments | -66,647 | -1,916,246 | -201,581 | – | -2,184,474 | |||||||||||
Proceeds from sale of property and equipment | – | 154,261 | 265 | – | 154,526 | |||||||||||
Transfers to restricted cash | -85,055 | – | – | – | -85,055 | |||||||||||
Transfers from restricted cash | 85,055 | – | – | – | 85,055 | |||||||||||
Other | 16,263 | -43,961 | 32,856 | – | 5,158 | |||||||||||
Net cash used in investing activities | -50,384 | -1,805,946 | -168,460 | – | -2,024,790 | |||||||||||
Financing activities: | ||||||||||||||||
Intercompany activities | -242,277 | 315,462 | -73,185 | – | – | |||||||||||
Payments on current portion of long-term debt | -1,200 | – | – | – | -1,200 | |||||||||||
Payments on revolving long-term debt | -3,445,900 | – | – | – | -3,445,900 | |||||||||||
Borrowings under revolving long-term debt | 3,696,200 | – | – | – | 3,696,200 | |||||||||||
Other | 35,203 | – | – | – | 35,203 | |||||||||||
Net cash provided by financing activities | 42,026 | 315,462 | -73,185 | – | 284,303 | |||||||||||
Effect of exchange rate changes on cash | – | – | 242 | – | 242 | |||||||||||
Increase (decrease) in cash and cash equivalents | 6,330 | -7,631 | 873 | – | -428 | |||||||||||
Cash and cash equivalents at beginning of year | 8,381 | 7,631 | 43 | – | 16,055 | |||||||||||
Cash and cash equivalents at end of period | $ | 14,711 | $ | – | $ | 916 | $ | – | $ | 15,627 | ||||||
Organization_and_Summary_of_Si3
Organization and Summary of Significant Accounting Policies (Details) (USD $) | 12 Months Ended | 24 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2012 | |
Asset Retirement Obligation, Period Increase (Decrease) | ' | $39,000,000 | ' | ' |
Gains related to the sale of natural gas in underground storage | 1,000,000 | ' | ' | -900,000 |
Outstanding checks included in accounts payable | 4,900,000 | 12,100,000 | ' | 12,100,000 |
Current assets inventory, tubulars & other equipment | 3,700,000 | ' | ' | ' |
Other Inventory, Noncurrent | 16,000,000 | ' | ' | ' |
Natural gas and oil reserves discount | 10.00% | ' | ' | ' |
Cash flow hedges impact on ceiling value | 70,700,000 | ' | ' | ' |
Amount recognized is the largest amount of tax benefit, threshold | 50.00% | ' | ' | ' |
Net capitalized costs exceeding ceiling | ' | 1,192,400,000 | ' | ' |
Cash paid during the year for interest, net of amounts capitalized | 36,267,000 | 17,311,000 | 19,159,000 | ' |
Cash paid during the year for income taxes | 18,787,000 | 818,000 | 4,198,000 | ' |
Increase (decrease) in noncash property additions | -12,730,000 | -26,240,000 | 30,389,000 | ' |
Common Stock in Treasury, Shares | 9,924,000 | 64,715,000 | ' | 64,715,000 |
NGL [Member] | ' | ' | ' | ' |
Full cost ceiling test, Price | 43.45 | ' | ' | ' |
Over Production [Member] | ' | ' | ' | ' |
Gas imbalance volume amount in Bcf | 11.2 | 8.4 | ' | 8.4 |
Gas imbalance asset (liability) | 37,900,000 | 28,400,000 | ' | 28,400,000 |
Under Production [Member] | ' | ' | ' | ' |
Gas imbalance volume amount in Bcf | 12.5 | 9.4 | ' | 9.4 |
Gas imbalance asset (liability) | -38,500,000 | -29,900,000 | ' | -29,900,000 |
Henry Hub Natural Gas [Member] | ' | ' | ' | ' |
Full cost ceiling test, Price | 3.67 | 2.76 | 4.12 | ' |
West Texas Intermediate Oil [Member] | ' | ' | ' | ' |
Full cost ceiling test, Price | 93.42 | 91.21 | 92.71 | ' |
Stock Options [Member] | ' | ' | ' | ' |
Number of common shares, Issued upon assumed exercise of outstanding stock options | 1,569,665 | ' | 3,577,104 | ' |
Outstanding options average exercise price | $28.03 | ' | $11.78 | ' |
Antidilutive securities excluded from computation of earnings per share, shares | 1,634,695 | 1,716,109 | 881,254 | ' |
Restricted Stock [Member] | ' | ' | ' | ' |
Number of common shares, Issued upon assumed exercise of outstanding stock options | 258,396 | ' | 241,044 | ' |
Antidilutive securities excluded from computation of earnings per share, shares | 114,433 | 602,429 | 135,352 | ' |
Exploration and Production [Member] | ' | ' | ' | ' |
Energy Related Inventory, Gas Stored Underground | 3,700,000 | 5,600,000 | ' | 5,600,000 |
Current assets inventory, tubulars & other equipment | 34,100,000 | 22,500,000 | ' | 22,500,000 |
Midstream Services [Member] | ' | ' | ' | ' |
Other Inventory, Noncurrent | $15,100,000 | $13,800,000 | ' | $13,800,000 |
Gathering Systems [Member] | ' | ' | ' | ' |
Straight-line depreciation period | '25 years | ' | ' | ' |
Acquisitions_And_Divestitures_
Acquisitions And Divestitures (Details) (USD $) | 1 Months Ended | ||
In Millions, unless otherwise specified | Apr. 30, 2013 | 31-May-12 | Dec. 31, 2011 |
MMcf | |||
Acquisitions And Divestitures [Abstract] | ' | ' | ' |
Cost to acquire natural gas properties through definitive purchase agreement | $93 | ' | ' |
Proceeds from sale of oil and gas property and equipment | ' | $164 | ' |
Divested assets, Production in MMcfe per day | ' | 24 | ' |
Divested assets, Proved net reserves in Bcfe | ' | ' | 143 |
Prepaid_Expenses_Details
Prepaid Expenses (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Prepaid Expenses [Abstract] | ' | ' |
Prepaid drilling costs | $9,560 | $30,101 |
Prepaid insurance | 7,619 | 9,507 |
Prepaid taxes | 13,624 | 572 |
Total | $30,803 | $40,180 |
Natural_Gas_And_Oil_Producing_1
Natural Gas And Oil Producing Activities (Unaudited) (Narrative) (Details) (USD $) | 12 Months Ended | 84 Months Ended | 120 Months Ended | |||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2013 | ||
Net unevaluated costs excluded from amortization | $322,308,000 | $141,384,000 | $307,380,000 | $185,397,000 | $956,469,000 | [1] |
Percentage of present worth of proved reserves evaluated in audit | 95.00% | 93.00% | 90.00% | ' | ' | |
Capitalized interest based on weighted average cost of borrowings | 61,600,000 | 62,100,000 | 43,400,000 | ' | ' | |
Capitalized internal costs related to acquisition, exploration and development | 262,200,000 | 236,500,000 | 207,900,000 | ' | ' | |
Capitalized internal costs related to acquisition, exploration and development activities - subsidiaries | 104,300,000 | 81,700,000 | 51,300,000 | ' | ' | |
Discount Rate Of Natural Gas And Oil Reserves | 10.00% | ' | ' | ' | ' | |
Seismic Costs Fayetteville Shale Play [Member] | ' | ' | ' | ' | ' | |
Net unevaluated costs excluded from amortization | 23,100,000 | ' | ' | ' | ' | |
Undeveloped Properties Fayetteville Shale Play [Member] | ' | ' | ' | ' | ' | |
Net unevaluated costs excluded from amortization | 39,000,000 | ' | ' | ' | ' | |
Undeveloped Properties Marcellus Shale Play [Member] | ' | ' | ' | ' | ' | |
Net unevaluated costs excluded from amortization | 195,700,000 | ' | ' | ' | ' | |
Undeveloped Properties New Ventures - Excluding Canada [Member] | ' | ' | ' | ' | ' | |
Net unevaluated costs excluded from amortization | 275,800,000 | ' | ' | ' | ' | |
Exploration Program in Canada [Member] | ' | ' | ' | ' | ' | |
Net unevaluated costs excluded from amortization | 72,300,000 | ' | ' | ' | ' | |
Wells In Progress [Member] | ' | ' | ' | ' | ' | |
Net unevaluated costs excluded from amortization | $220,700,000 | ' | ' | ' | ' | |
West Texas Intermediate Oil [Member] | ' | ' | ' | ' | ' | |
Full cost ceiling test, Price | 93.42 | 91.21 | 92.71 | ' | ' | |
Henry Hub Natural Gas [Member] | ' | ' | ' | ' | ' | |
Full cost ceiling test, Price | 3.67 | 2.76 | 4.12 | ' | ' | |
[1] | Property acquisition costs include $35.0 million, exploration costs include $31.8 million and capitalized interest includes $5.5 million related to our exploration program in Canada. |
Natural_Gas_And_Oil_Producing_2
Natural Gas And Oil Producing Activities (Unaudited) (Capitalized Costs of Gas and Oil Properties and the Related Accumulated Depreciation, Depletion, and Amortization) (Details) (USD $) | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
Proved properties | $12,337,372 | $10,259,226 | ' | |||
Unproved properties | 956,469 | [1] | 1,023,888 | [1] | ' | |
Total capitalized costs | 13,293,841 | 11,283,114 | ' | |||
Less: Accumulated depreciation, depletion and amortization | 7,481,335 | 6,774,174 | ' | |||
Net capitalized costs | 5,812,506 | 4,508,940 | ' | |||
Unproved property acquisition costs | 168,404 | [2] | 220,822 | [2] | 262,886 | [2] |
Capitalized Costs [Member] | Exploration Program in Canada [Member] | ' | ' | ' | |||
Unproved property acquisition costs | $72,300 | $40,400 | ' | |||
[1] | Includes $72.3 and $40.4 million related to our exploration program in Canada as of December 31, 2013 and 2012, respectively. | |||||
[2] | Includes $17.1 million, $3.6 million and $0.2 million, in 2013, 2012 and 2011, respectively, related to our exploration program in Canada. |
Natural_Gas_And_Oil_Producing_3
Natural Gas And Oil Producing Activities (Unaudited) (Composition of Net Unevaluated Costs Excluded from Amortization (Details) (USD $) | 12 Months Ended | 84 Months Ended | 120 Months Ended | |||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2013 | |
Property aquisition costs | $147,791 | $81,889 | $221,451 | $109,994 | $561,125 | |
Exploration and Development Costs | 166,725 | 48,428 | 47,784 | 38,858 | 301,795 | [1] |
Capitalized interest | 7,792 | 11,067 | 38,145 | 36,545 | 93,549 | [1] |
Capitalized Costs of Unproved Properties Excluded from Amortization, Period Cost, Total | 322,308 | 141,384 | 307,380 | 185,397 | 956,469 | [1] |
Exploration Program in Canada [Member] | ' | ' | ' | ' | ' | |
Capitalized Costs of Unproved Properties Excluded from Amortization, Period Cost, Total | 72,300 | ' | ' | ' | ' | |
Composition of Net Unevaluated Costs [Member] | Exploration Program in Canada [Member] | ' | ' | ' | ' | ' | |
Property aquisition costs | ' | ' | ' | ' | 35,000 | |
Exploration and Development Costs | ' | ' | ' | ' | 31,800 | |
Capitalized interest | ' | ' | ' | ' | $5,500 | |
[1] | Property acquisition costs include $35.0 million, exploration costs include $31.8 million and capitalized interest includes $5.5 million related to our exploration program in Canada. |
Natural_Gas_And_Oil_Producing_4
Natural Gas And Oil Producing Activities (Unaudited) (Capitalized Costs Incurred in Natural Gas and Oil Property Acquisition, Exploration and Development Activities) (Details) (USD $) | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
Proved property acquisition costs | $572 | ' | $17 | |||
Unproved property acquisition costs | 168,404 | [1] | 220,822 | [1] | 262,886 | [1] |
Exploration costs | 192,164 | [2] | 197,280 | [2] | 63,419 | [2] |
Development costs | 1,662,138 | 1,492,841 | 1,633,784 | |||
Capitalized costs incurred | 2,023,278 | 1,910,943 | 1,960,106 | |||
Full cost pool amortization per Mcfe | 1.08 | 1.31 | 1.3 | |||
Costs Incurred in Natural Gas and Oil Exploration and Development [Member] | Exploration Program in Canada [Member] | ' | ' | ' | |||
Unproved property acquisition costs | 17,100 | 3,600 | 200 | |||
Exploration costs | $11,500 | $2,500 | $18,400 | |||
[1] | Includes $17.1 million, $3.6 million and $0.2 million, in 2013, 2012 and 2011, respectively, related to our exploration program in Canada. | |||||
[2] | Includes $11.5 million, $2.5 million and $18.4 million in 2013, 2012 and 2011, respectively, related to our exploration program in Canada. |
Natural_Gas_And_Oil_Producing_5
Natural Gas And Oil Producing Activities (Unaudited) (Results of Operations from Natural Gas and Oil Producing Activities) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Natural Gas And Oil Properties [Abstract] | ' | ' | ' |
Sales | $2,404,165 | $1,963,172 | $2,098,914 |
Production (lifting) costs | -628,817 | -505,271 | -469,153 |
Depreciation, depletion and amortization | -735,215 | -765,192 | -666,107 |
Impairment of natural gas and oil properties | ' | -1,939,734 | ' |
Results of operations - income before income taxes | 1,040,133 | -1,247,025 | 963,654 |
Provision (benefit) for income taxes | 416,042 | -496,738 | 375,435 |
Results of operations | $624,091 | ($750,287) | $588,219 |
Natural_Gas_And_Oil_Producing_6
Natural Gas And Oil Producing Activities (Unaudited) (Changes in Proved Natural Gas and Oil Reserves) (Details) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
MMcf | MMcf | MMcf | |
Natural Gas [Member] | ' | ' | ' |
Proved reserves, beginning of year | 4,016,798 | 5,887,207 | 4,929,980 |
Revisions of previous estimates | 325,374 | -2,087,985 | 34,505 |
Extensions, discoveries and other additions | 3,283,495 | 918,594 | 1,459,428 |
Production | -655,704 | -564,484 | -499,433 |
Acquisition of reserves in place | 4,114 | ' | 13 |
Disposition of reserves in place | ' | -136,534 | -37,286 |
Proved reserves, end of year | 6,974,077 | 4,016,798 | 5,887,207 |
Proved Developed Reserves [Abstract] | ' | ' | ' |
Beginning of year | 3,195,662 | 3,254,018 | 2,687,238 |
End of year | 4,237,495 | 3,195,662 | 3,254,018 |
Proved Undeveloped Reserves [Abstract] | ' | ' | ' |
Beginning of year | 821,136 | 2,633,189 | 2,242,742 |
End of year | 2,736,582 | 821,136 | 2,633,189 |
Oil [Member] | ' | ' | ' |
Proved reserves, beginning of year | 244 | 996 | 1,219 |
Revisions of previous estimates | 88 | -44 | -125 |
Extensions, discoveries and other additions | 229 | 154 | 2 |
Production | -188 | -83 | -97 |
Disposition of reserves in place | ' | -779 | -3 |
Proved reserves, end of year | 373 | 244 | 996 |
Proved Developed Reserves [Abstract] | ' | ' | ' |
Beginning of year | 243 | 983 | 1,173 |
End of year | 372 | 243 | 983 |
Proved Undeveloped Reserves [Abstract] | ' | ' | ' |
Beginning of year | 1 | 13 | 46 |
End of year | 1 | 1 | 13 |
Natural_Gas_And_Oil_Producing_7
Natural Gas And Oil Producing Activities (Unaudited) (Standardized Measures of Discounted Future Net Cash Flows Relating to Proved Natural Gas and Oil Reserves) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Natural Gas And Oil Properties [Abstract] | ' | ' | ' |
Future cash inflows | $22,624,562 | $9,570,652 | $22,012,205 |
Future production costs | -8,895,956 | -4,737,297 | -8,080,207 |
Future development costs | -3,626,496 | -711,050 | -3,425,185 |
Future income tax expense | -3,223,271 | -745,251 | -3,366,175 |
Future net cash flows | 6,878,839 | 3,377,054 | 7,140,638 |
10% annual discount for estimated timing of cash flows | -3,142,795 | -1,326,389 | -3,689,838 |
Standardized measure of discounted future net cash flows | $3,736,044 | $2,050,665 | $3,450,800 |
Annual discount for estimated timing of cash flows percent | 10.00% | 10.00% | 10.00% |
Natural_Gas_And_Oil_Producing_8
Natural Gas And Oil Producing Activities (Unaudited) (Analysis of Changes in the Standardized Measure) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Natural Gas And Oil Properties [Abstract] | ' | ' | ' |
Standardized measure, beginning of year | $2,050,665 | $3,450,800 | $3,013,750 |
Sales and transfers of natural gas and oil produced, net of production costs | -1,774,043 | -1,443,606 | -1,632,156 |
Net changes in prices and production costs | 1,852,772 | -2,604,591 | -381,131 |
Extensions, discoveries, and other additions, net of future production and development costs | 1,454,634 | 549,601 | 1,163,992 |
Acquisition of reserves in place | 4,914 | ' | 30 |
Sales of reserves in place | ' | -157,108 | -11,761 |
Revisions of previous quantity estimates | 348,996 | -1,109,409 | 34,221 |
Accretion of Discount | 232,385 | 480,315 | 426,245 |
Net change in income taxes | -1,119,798 | 1,079,158 | -103,643 |
Changes in estimated future development costs | -196,394 | 2,475,470 | 70,492 |
Previously estimated development costs incurred during the year | 222,982 | 61,949 | 564,894 |
Changes in production rates (timing) and other | 658,931 | -731,914 | 305,867 |
Standardized measure, end of year | $3,736,044 | $2,050,665 | $3,450,800 |
Recovered_Sheet1
Derivatives And Risk Management (Narratives) (Details) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Derivative [Line Items] | ' | ' |
Accumulated other comprehensive income, net gain related to hedging activities | $9.30 | ' |
Deferred income tax liability, accumulated other comprehensive income | 6.2 | ' |
Cash flow hedge after-tax net gain to be transferred from accumulated other comprehensive income to earnings during the next twelve months | 9.3 | ' |
Realized Gain From Settled Contracts | 309.2 | 631.5 |
Interest Rate Swap [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Notional amount of derivatives | $170 | ' |
Year 2014 [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Volume of Natural Gas Production (in Bcf), Basis Swaps Not Qualifying for Hedge Accounting Treatment | 21,300,000,000 | ' |
Volume of Natural Gas Production (in Bcf), Fixed Price Swaps Not Qualifying for Hedge Accounting Treatment | 181,600,000,000 | ' |
Year 2015 [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Volume of Natural Gas Production (in Bcf), Basis Swaps Not Qualifying for Hedge Accounting Treatment | 900,000,000 | ' |
Volume of Natural Gas Production (in Bcf), Call Options Not Qualifying for Hedge Accounting Treatment | 199,800,000,000 | ' |
Recovered_Sheet2
Derivatives And Risk Management (Balance Sheet Classification) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Derivative [Line Items] | ' | ' |
Derivative assets | $78,503 | $292,144 |
Derivative liabilities | 40,490 | 4,266 |
Designated as Hedging Instrument [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative assets | 20,631 | 287,993 |
Derivative liabilities | 3,884 | ' |
Designated as Hedging Instrument [Member] | Fixed Price Swaps [Member] | Derivative Asset [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative assets | 20,631 | 279,443 |
Designated as Hedging Instrument [Member] | Fixed Price Swaps [Member] | Other Long-Term Assets [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative assets | ' | 8,550 |
Designated as Hedging Instrument [Member] | Fixed Price Swaps [Member] | Other Current Liabilities [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative liabilities | 3,884 | ' |
Not Designated as Hedging Instrument [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative assets | 57,872 | 4,151 |
Derivative liabilities | 36,606 | 4,266 |
Not Designated as Hedging Instrument [Member] | Fixed Price Swaps [Member] | Derivative Asset [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative assets | 37,382 | ' |
Not Designated as Hedging Instrument [Member] | Fixed Price Swaps [Member] | Other Current Liabilities [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative liabilities | 185 | ' |
Not Designated as Hedging Instrument [Member] | Basis Swaps [Member] | Derivative Asset [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative assets | 12,858 | 3,250 |
Not Designated as Hedging Instrument [Member] | Basis Swaps [Member] | Other Long-Term Assets [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative assets | 107 | 901 |
Not Designated as Hedging Instrument [Member] | Basis Swaps [Member] | Other Current Liabilities [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative liabilities | 1,501 | 138 |
Not Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | Other Long-Term Assets [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative assets | 7,525 | ' |
Not Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | Other Current Liabilities [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative liabilities | 1,520 | ' |
Not Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | Other Long-Term Liabilities [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative liabilities | 3,012 | ' |
Not Designated as Hedging Instrument [Member] | Fixed Price Call Options [Member] | Other Long-Term Liabilities [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative liabilities | $30,388 | $4,128 |
Derivatives_And_Risk_Managemen2
Derivatives And Risk Management (Fixed Price Swaps, Volumes of Natural Gas Production (in Bcf)) (Details) (Year 2014 [Member]) | Dec. 31, 2013 |
ft3 | |
Derivative [Line Items] | ' |
Volume of Natural Gas Production (in Bcf), Fixed Price Swaps | 382,300,000,000 |
Fixed and Floating Price Swaps [Member] | ' |
Derivative [Line Items] | ' |
Volume of Natural Gas Production (in Bcf), Fixed Price Swaps | 200,700,000,000 |
Fixed and Floating Price Swaps [Member] | Not Designated as Hedging Instrument [Member] | ' |
Derivative [Line Items] | ' |
Volume of Natural Gas Production (in Bcf), Fixed Price Swaps | 181,600,000,000 |
Derivatives_And_Risk_Managemen3
Derivatives And Risk Management (Before Tax Effect of all Cash Flow Hedges on the Condensed Consolidated Financial Statements) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Fixed Price Swaps [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative Instruments, Gain (Loss) Recognized in Other Comprehensive Income, Effective Portion | $37,931 | $178,660 |
Costless Collar [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative Instruments, Gain (Loss) Recognized in Other Comprehensive Income, Effective Portion | ' | 39,247 |
Gas Sales [Member] | Fixed Price Swaps [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative Instruments, Gain Reclassified from Accumulated Other Comprehensive Income into Earnings, Effective Portion | 309,177 | 413,410 |
Derivative Instruments, Gain (Loss) Recognized in Earnings, Ineffective Portion | -1,652 | 2,450 |
Gas Sales [Member] | Costless Collar [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative Instruments, Gain Reclassified from Accumulated Other Comprehensive Income into Earnings, Effective Portion | ' | 218,119 |
Derivative Instruments, Gain (Loss) Recognized in Earnings, Ineffective Portion | ' | ($24) |
Derivatives_And_Risk_Managemen4
Derivatives And Risk Management (Before Tax Effect of Basis Swaps that do not Qualify for Hedge Accounting Consolidated Statements of Operations) (Details) (Gas Sales [Member], USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Basis Swaps [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative Instruments, Unrealized Loss Recognized in Earnings | $7,450 | $766 |
Derivative Instruments, Realized Gain (Loss) Recognized in Earnings | 4,772 | 2,162 |
Fixed Price Call Options [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative Instruments, Unrealized Loss Recognized in Earnings | -26,259 | -4,128 |
Fixed and Floating Price Swaps [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative Instruments, Unrealized Loss Recognized in Earnings | 37,197 | ' |
Fair Value Swaps [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative Instruments, Unrealized Loss Recognized in Earnings | ' | 1,208 |
Derivative Instruments, Realized Gain (Loss) Recognized in Earnings | ' | -14,958 |
Interest Rate Swap [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative Instruments, Unrealized Loss Recognized in Earnings | 2,992 | ' |
Derivative Instruments, Realized Gain (Loss) Recognized in Earnings | ($11) | ' |
Reclassification_From_Accumula2
Reclassification From Accumulated Other Comprehensive Income (Components Of Accumulated Other Comprehensive Income) (Details) (USD $) | 12 Months Ended | ||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ||
Beginning balance | $149,804 | [1] | ' | ' | |
Other comprehensive income (loss) before reclassifications | 17,616 | [1] | ' | ' | |
Amounts reclassified | -171,762 | [1],[2] | ' | ' | |
Net current-period other comprehensive income (loss) | -154,146 | [1] | -258,624 | 324,453 | |
Ending balance | -4,342 | [1] | 149,804 | [1] | ' |
Gains And Losses On Cash Flow Hedges [Member] | ' | ' | ' | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ||
Beginning balance | 172,166 | [1] | ' | ' | |
Other comprehensive income (loss) before reclassifications | 21,619 | [1] | ' | ' | |
Amounts reclassified | -184,515 | [1],[2] | ' | ' | |
Net current-period other comprehensive income (loss) | -162,896 | [1] | ' | ' | |
Ending balance | 9,270 | [1] | ' | ' | |
Pension And Other Postretirement [Member] | ' | ' | ' | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ||
Beginning balance | -22,311 | [1] | ' | ' | |
Amounts reclassified | 12,753 | [1],[2] | ' | ' | |
Net current-period other comprehensive income (loss) | 12,753 | [1] | ' | ' | |
Ending balance | -9,558 | [1] | ' | ' | |
Foreign Currency [Member] | ' | ' | ' | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ||
Beginning balance | -51 | [1] | ' | ' | |
Other comprehensive income (loss) before reclassifications | -4,003 | [1] | ' | ' | |
Net current-period other comprehensive income (loss) | -4,003 | [1] | ' | ' | |
Ending balance | ($4,054) | [1] | ' | ' | |
[1] | All amounts are net of tax. | ||||
[2] | See separate table below for details about these reclassifications. |
Reclassification_From_Accumula3
Reclassification From Accumulated Other Comprehensive Income (Amounts Reclassified From Accumulated Other Comprehensive Income) (Details) (USD $) | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
Gas sales | $2,381,478 | $1,956,311 | $2,078,151 | |||
General and administrative expenses | 191,310 | 175,147 | 158,041 | |||
Income (loss) before income taxes | 1,190,377 | -1,150,203 | 1,050,990 | |||
Provision (benefit) for income taxes | 486,874 | [1] | -443,139 | [1] | 413,221 | [1] |
Reclassification Out Of Accumulated Other Comprehensive Income [Member] | ' | ' | ' | |||
Net income (loss) | 171,762 | ' | ' | |||
Parent [Member] | ' | ' | ' | |||
Income (loss) before income taxes | ' | -707,064 | 637,769 | |||
Gains And Losses On Cash Flow Hedges [Member] | Reclassification Out Of Accumulated Other Comprehensive Income [Member] | ' | ' | ' | |||
Income (loss) before income taxes | 307,525 | ' | ' | |||
Provision (benefit) for income taxes | 123,010 | ' | ' | |||
Net income (loss) | 184,515 | ' | ' | |||
Gains And Losses On Cash Flow Hedges [Member] | Reclassification Out Of Accumulated Other Comprehensive Income [Member] | Settlements [Member] | ' | ' | ' | |||
Gas sales | 309,177 | ' | ' | |||
Gains And Losses On Cash Flow Hedges [Member] | Reclassification Out Of Accumulated Other Comprehensive Income [Member] | Ineffectiveness [Member] | ' | ' | ' | |||
Gas sales | -1,652 | ' | ' | |||
Pension And Other Postretirement [Member] | Reclassification Out Of Accumulated Other Comprehensive Income [Member] | ' | ' | ' | |||
General and administrative expenses | -21,009 | [2] | ' | ' | ||
Income (loss) before income taxes | -21,009 | ' | ' | |||
Provision (benefit) for income taxes | -8,256 | ' | ' | |||
Net income (loss) | ($12,753) | ' | ' | |||
[1] | Interest expense and the provision (benefit) for income taxes by segment are an allocation of corporate amounts as they are incurred at the corporate level. | |||||
[2] | Included in the computation of net periodic pension cost (see Note 12 for additional details). |
Fair_Value_Measurements_Narrat
Fair Value Measurements (Narrative) (Details) | Dec. 31, 2013 | Dec. 31, 2012 |
7.5% Senior Notes due 2018 [Member] | ' | ' |
Debt instrument, interest rate, stated percentage | 7.50% | 7.50% |
Yield, Publicly-traded debt market | 2.60% | 2.60% |
4.10% Senior Notes Due 2022 [Member] | ' | ' |
Debt instrument, interest rate, stated percentage | 4.10% | 4.10% |
Yield, Publicly-traded debt market | 4.20% | ' |
Fair_Value_Measurements_Carryi
Fair Value Measurements (Carrying Amount and Estimated Fair Values of Financial Instruments) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Restricted cash | ' | $8,542 |
Carrying Amount [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Cash and cash equivalents | 22,938 | 53,583 |
Restricted cash | ' | 8,542 |
Credit facility | 282,900 | ' |
Senior notes | 1,668,396 | 1,669,473 |
Derivative instruments, net | 38,013 | 287,878 |
Fair Value [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Cash and cash equivalents | 22,938 | 53,583 |
Restricted cash | ' | 8,542 |
Credit facility | 282,900 | ' |
Senior notes | 1,795,935 | 1,917,005 |
Derivative instruments, net | $38,013 | $287,878 |
Fair_Value_Measurements_Summar
Fair Value Measurements (Summary Assets and Liabilities Measured at Fair Value on Recurring Basis) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Significant Observable Inputs, Level 2 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative assets | $65,538 | $287,993 |
Derivative liabilities | -8,601 | ' |
Total | 56,937 | 287,993 |
Significant Unobservable Inputs, Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative assets | 12,965 | 4,151 |
Derivative liabilities | -31,889 | -4,266 |
Total | -18,924 | -115 |
Fair Value [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative assets | 78,503 | 292,144 |
Derivative liabilities | -40,490 | -4,266 |
Total | $38,013 | $287,878 |
Fair_Value_Measurements_Assets
Fair Value Measurements (Assets Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs (Level 3), Reconciliation) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Fair Value Measurements [Abstract] | ' | ' |
Balance at beginning of period | ($115) | $182,119 |
Total gains or losses (realized/unrealized): Included in earnings | -14,037 | 216,857 |
Total gains or losses (realized/unrealized): Included in other comprehensive income | ' | -178,847 |
Purchases, issuances, and settlements: | ' | ' |
Purchases | ' | ' |
Issuances | ' | ' |
Settlements | -4,772 | -220,244 |
Transfers into/out of Level 3 | ' | ' |
Balance at end of period | -18,924 | -115 |
Change in unrealized gains included in earnings relating to derivatives still held as of December 31 | ($18,809) | ($3,362) |
Debt_Narrative_Details
Debt (Narrative) (Details) (USD $) | 0 Months Ended | ||||||||||||
Dec. 16, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 16, 2013 | Dec. 31, 2012 | |
7.5% Senior Notes due 2018 [Member] | 7.5% Senior Notes due 2018 [Member] | 4.10% Senior Notes Due 2022 [Member] | 4.10% Senior Notes Due 2022 [Member] | 7.15% Senior Notes due 2018 [Member] | 7.15% Senior Notes due 2018 [Member] | 7.35% Senior Notes due 2017 [Member] | 7.35% Senior Notes due 2017 [Member] | 7.125% Senior Notes due 2017 [Member] | 7.125% Senior Notes due 2017 [Member] | Credit Facility [Member] | Credit Facility [Member] | ||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt instrument, interest rate, stated percentage | ' | 7.50% | 7.50% | 4.10% | 4.10% | 7.15% | 7.15% | 7.35% | 7.35% | 7.13% | 7.13% | ' | ' |
Senior notes redemption date | 1-Dec-18 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Basis Points | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.50% | 2.00% |
Unsecured revolving credit facility, borrowing capacity | $2,000,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unsecured revolving credit facility, increase in current borrowing capacity potential | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $500,000,000 | ' |
Debt percentage of capital structure covenant | 60.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stated interest rate | ' | 7.50% | 7.50% | 4.10% | 4.10% | 7.15% | 7.15% | 7.35% | 7.35% | 7.13% | 7.13% | ' | ' |
Debt_Components_Of_Debt_Detail
Debt (Components Of Debt) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Debt Instrument [Line Items] | ' | ' |
Short-term debt | $1,200 | $1,200 |
Variable rate (1.644% and 2.200% at December 31, 2013 and December 31, 2012, respectively) Credit Facility, expires December 2018 | 282,900 | ' |
Unamortized discount | -1,004 | -1,127 |
Long-term debt | 1,950,096 | 1,668,273 |
Total debt | 1,951,296 | 1,669,473 |
Variable interest rate | 1.64% | 2.20% |
7.15% Senior Notes due 2018 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Short-term debt | 1,200 | 1,200 |
Stated interest rate | 7.15% | 7.15% |
7.35% Senior Notes due 2017 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Senior Notes | 15,000 | 15,000 |
Stated interest rate | 7.35% | 7.35% |
7.125% Senior Notes due 2017 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Senior Notes | 25,000 | 25,000 |
Stated interest rate | 7.13% | 7.13% |
7.15% Senior Notes due 2018 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Senior Notes | 28,200 | 29,400 |
Stated interest rate | 7.15% | 7.15% |
7.5% Senior Notes due 2018 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Senior Notes | 600,000 | 600,000 |
Stated interest rate | 7.50% | 7.50% |
4.10% Senior Notes Due 2022 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Senior Notes | $1,000,000 | $1,000,000 |
Stated interest rate | 4.10% | 4.10% |
Debt_Schedule_of_Long_Term_Deb
Debt (Schedule of Long Term Debt Maturities) (Details) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Debt [Abstract] | ' |
2015 | $1,200 |
2016 | 1,200 |
2017 | 41,200 |
2018 | 907,500 |
Thereafter | 1,000,000 |
Total long-term debt maturities | $1,951,100 |
Commitments_and_Contingencies_
Commitments and Contingencies (Details) | 1 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | |||||||||||
Jul. 31, 2013 | Aug. 31, 2011 | Dec. 31, 2010 | Mar. 31, 2010 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Mar. 31, 2010 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | |
USD ($) | USD ($) | USD ($) | item | USD ($) | USD ($) | USD ($) | SES and SEPCO [Member] | Midstream Services and E&P [Member] | Exploration Program in Canada [Member] | Exploration Program in Canada [Member] | Exploration Program in Canada [Member] | Maximum [Member] | Maximum [Member] | Minimum [Member] | |
acre | USD ($) | USD ($) | USD ($) | CAD | CAD | SES and SEPCO [Member] | Midstream Services and E&P [Member] | Midstream Services and E&P [Member] | |||||||
item | acre | USD ($) | |||||||||||||
Operating Leases, Future Minimum Payments, Due in Two Years | ' | ' | ' | ' | $55,900,000 | ' | ' | ' | $24,500,000 | ' | ' | ' | ' | ' | ' |
Future Demand Transportation Charges Due 2014 | ' | ' | ' | ' | 362,800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Future Demand Transportation Charges Due 2015 | ' | ' | ' | ' | 399,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Future Demand Transportation Charges Due 2016 | ' | ' | ' | ' | 413,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Future Demand Transportation Charges Due 2017 | ' | ' | ' | ' | 375,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Future Demand Transportation Charges Due 2018 | ' | ' | ' | ' | 363,300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Future Demand Transportation Charges Due Thereafter (After 2018) | ' | ' | ' | ' | 1,594,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of leases | ' | ' | ' | ' | ' | ' | ' | ' | 11 | ' | ' | ' | ' | ' | ' |
Aggregate annual lease payment for the 11 leases for pressure pumping equipment for E&P | ' | ' | ' | ' | ' | ' | ' | ' | 7,500,000 | ' | ' | ' | ' | ' | ' |
Lease Expiration Date | ' | ' | ' | ' | 31-Dec-27 | ' | ' | ' | ' | ' | ' | ' | ' | 1-Jan-18 | 1-Dec-17 |
Operating Leases, Future Minimum Payments Due in 2014 | ' | ' | ' | ' | 65,200,000 | ' | ' | ' | 38,600,000 | ' | ' | ' | ' | ' | ' |
Operating Leases, Future Minimum Payments, Due in 2015 | ' | ' | ' | ' | 55,900,000 | ' | ' | ' | 24,500,000 | ' | ' | ' | ' | ' | ' |
Operating Leases, Future Minimum Payments, Due in 2016 | ' | ' | ' | ' | 44,600,000 | ' | ' | ' | 17,200,000 | ' | ' | ' | ' | ' | ' |
Operating Leases, Future Minimum Payments, Due in 2017 | ' | ' | ' | ' | 27,800,000 | ' | ' | ' | 9,200,000 | ' | ' | ' | ' | ' | ' |
Operating Leases, Future Minimum Payments, Due in 2018 | ' | ' | ' | ' | 10,800,000 | ' | ' | ' | 3,700,000 | ' | ' | ' | ' | ' | ' |
Obligations for demand and similar charges under transportation agreements | ' | ' | ' | ' | ' | ' | ' | 3,500,000,000 | ' | ' | ' | ' | ' | ' | ' |
Contractual Obligation | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100,000,000 | ' | ' |
Operating Leases, Future Minimum Payments, Due Thereafter | ' | ' | ' | ' | 24,900,000 | ' | ' | ' | 700,000 | ' | ' | ' | ' | ' | ' |
Unrecorded capital investments obligation, Exploration program acres coverage (acres) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,500,000 | ' | ' | ' |
Unrecorded capital investments obligation | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 47,000,000 | ' | ' | ' |
Unrecorded promissory note payable | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 44,500,000 | ' | ' | ' |
Capital investments related to E&P program in Canada | ' | ' | ' | ' | 35,400,000 | 11,600,000 | 18,700,000 | ' | ' | 36,900,000 | 39,200,000 | ' | ' | ' | ' |
Area of land purchased | ' | ' | ' | ' | ' | 26 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Current obligation for construction costs incurred | ' | ' | ' | ' | 38,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Lease period upon construction completion | ' | ' | ' | ' | 'P5Y | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Litigation settlement, gross | ' | ' | 11,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Litigation, portion of profits considered for disgorgement | ' | ' | 381,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Actual damages recoverable by plaintiff per August 2011 judgement | ' | 11,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Disgorgement recoverable by plaintiff per August 2011 judgement | ' | 23,900,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Prejudgement interest and attorney's fees recoverable by plaintiff per August 2011 judgement | ' | 8,900,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Disgorgement recoverable by plaintiff to be reversed | 23,900,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Actual damages recoverable by plaintiff to be reversed | 11,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Litigation settlement upheld | 11,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Litigation, SEPCO's estimated gross liability including interest and attorney's fees. | ' | ' | ' | ' | $45,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of horizontal wells operated by SEECO in Arkansas | ' | ' | ' | 27 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income_Taxes_Narrative_Details
Income Taxes (Narrative) (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Effective tax rate of provision for income taxes | 40.90% | 38.50% | 39.30% |
Net current deferred income tax liability | $24,353,000 | $106,123,000 | ' |
Income taxes paid | 18,787,000 | 818,000 | 4,198,000 |
Operating Loss Carryforwards | 411,994,000 | 217,276,000 | ' |
Alternative minimum tax credit carryforward | 76,864,000 | 89,016,000 | ' |
Statutory depletion carryforward | 12,900,000 | ' | ' |
Windfalls Included In Net Operating Loss Carryforwards But Not Reflected In Deferred Tax Assets | 131,300,000 | ' | ' |
Deferred Tax Assets, Valuation Allowance | 2,900,000 | ' | ' |
Net long-term deferred tax liabilities | 1,526,700,000 | 1,045,500,000 | ' |
Federal [Member] | ' | ' | ' |
Income taxes paid | 15,500,000 | ' | ' |
Operating Loss Carryforwards | 1,174,700,000 | ' | ' |
State [Member] | ' | ' | ' |
Income taxes paid | 3,300,000 | 800,000 | ' |
Operating Loss Carryforwards | 878,000,000 | ' | ' |
Minimum [Member] | ' | ' | ' |
Net operating loss carryforwards expiration date | 31-Dec-28 | ' | ' |
Maximum [Member] | ' | ' | ' |
Net operating loss carryforwards expiration date | 31-Dec-32 | ' | ' |
Exploration Program in Canada [Member] | ' | ' | ' |
Net operating loss carryforward | $22,300,000 | ' | ' |
Exploration Program in Canada [Member] | Minimum [Member] | ' | ' | ' |
Net operating loss carryforwards expiration date | 1-Jan-30 | ' | ' |
Exploration Program in Canada [Member] | Maximum [Member] | ' | ' | ' |
Net operating loss carryforwards expiration date | 31-Dec-33 | ' | ' |
Income_Taxes_Provision_Benefit
Income Taxes (Provision (Benefit) for Income Taxes) (Details) (USD $) | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
Current: | ' | ' | ' | |||
Federal Current | ($12,151) | $15,500 | $3,378 | |||
State Current | 1,080 | 3,189 | 820 | |||
Total Current | -11,071 | 18,689 | 4,198 | |||
Deferred: | ' | ' | ' | |||
Federal Deferred | 409,359 | -388,209 | 345,922 | |||
State Deferred | 87,823 | -71,582 | 60,941 | |||
Foreign Deferred | 763 | -2,037 | 2,160 | |||
Total Deferred | 497,945 | -461,828 | 409,023 | |||
Total provision for income taxes | $486,874 | [1] | ($443,139) | [1] | $413,221 | [1] |
[1] | Interest expense and the provision (benefit) for income taxes by segment are an allocation of corporate amounts as they are incurred at the corporate level. |
Income_Taxes_Reconciliation_of
Income Taxes (Reconciliation of Provision (Benefit) for Income Taxes) (Details) (USD $) | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
Income Taxes [Abstract] | ' | ' | ' | |||
Expected provision (benefit) at federal statutory rate | $416,632 | ($402,571) | $367,854 | |||
Increase (decrease) resulting from: | ' | ' | ' | |||
State income taxes, net of federal income tax effect | 53,130 | -44,454 | 40,145 | |||
Nondeductible expenses | 3,404 | 2,100 | 1,244 | |||
Other | 13,708 | 1,786 | 3,978 | |||
Provision (benefit) for income taxes | $486,874 | [1] | ($443,139) | [1] | $413,221 | [1] |
[1] | Interest expense and the provision (benefit) for income taxes by segment are an allocation of corporate amounts as they are incurred at the corporate level. |
Income_Taxes_Net_Deferred_Tax_
Income Taxes (Net Deferred Tax Liability) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Deferred tax liabilities: | ' | ' |
Differences between book and tax basis of property | $2,114,685 | $1,441,149 |
Cash flow hedges | 13,171 | 112,625 |
Other | 10,715 | 4,460 |
Total deferred tax liabilities | 2,138,571 | 1,558,234 |
Deferred tax assets | ' | ' |
Accrued compensation | 15,718 | 16,387 |
Alternative minimum tax credit carryforward | 76,864 | 89,016 |
Stored natural gas | 9,272 | 7,812 |
Accrued pension costs | 1,821 | 7,686 |
Asset retirement obligations | 53,419 | 39,249 |
Net operating loss carryforward | 411,994 | 217,276 |
Differences between book and tax basis of property - state | 11,045 | 16,872 |
Other | 7,405 | 12,354 |
Total deferred tax assets | 587,538 | 406,652 |
Net deferred tax liability | $1,551,033 | $1,151,582 |
Asset_Retirement_Obligations_D
Asset Retirement Obligations (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Asset Retirement Obligation [Abstract] | ' | ' |
Asset retirement obligation at January 1 | $100,637,000 | $37,693,000 |
Accretion of discount | 5,643,000 | 2,394,000 |
Obligations incurred | 22,241,000 | 23,327,000 |
Obligations settled/removed | -2,341,000 | -8,804,000 |
Revisions of estimates | 7,366,000 | 46,027,000 |
Current liability | 5,549,000 | 4,091,000 |
Long-term liability | 127,997,000 | 96,546,000 |
Asset retirement obligation at December 31 | 133,546,000 | 100,637,000 |
Asset retirement obligation period increase due to correction | ' | $39,000,000 |
Retirement_and_Employee_Benefi2
Retirement and Employee Benefit Plans (Narrative) (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Contribution expense | $2,500,000 | $2,200,000 | $1,900,000 |
Contributions capitalized | 2,900,000 | 2,800,000 | 3,800,000 |
Amount of amortization of prior period service costs reclassified from AOCI to general and administrative expenses | 21,000,000 | ' | ' |
Pension Benefits [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Change in accumulated other comprehensive income (loss) | 19,200,000 | -8,400,000 | ' |
Change in accumulated other comprehensive income (loss) after tax | 11,600,000 | -5,000,000 | ' |
Prior service costs | 100,000 | ' | ' |
Net loss | 200,000 | ' | ' |
Company's expected contribution | 12,000,000 | ' | ' |
Net periodic pension cost | 13,471,000 | 11,072,000 | 9,796,000 |
Other Postretirement Benefits [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Change in accumulated other comprehensive income (loss) | 1,800,000 | -2,400,000 | ' |
Change in accumulated other comprehensive income (loss) after tax | 1,100,000 | -1,400,000 | ' |
Company's expected contribution | 400,000 | ' | ' |
Net periodic pension cost | 2,871,000 | 2,401,000 | 1,695,000 |
United States Postretirement Benefit Plan of US Entity, Defined Benefit [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Defined benefit plan included in accumulated other comprehensive income (loss) | -15,900,000 | -36,900,000 | ' |
Defined benefit plan included in accumulated other comprehensive income (loss) after tax | -9,600,000 | -22,300,000 | ' |
Change In Plan Assets [Member] | Pension Benefits [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Employer contributions | 12,520,000 | 11,084,000 | ' |
Change In Plan Assets [Member] | Other Postretirement Benefits [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Employer contributions | $115,000 | $84,000 | ' |
Retirement_and_Employee_Benefi3
Retirement and Employee Benefit Plans (Changes in the Plans Benefit Obligations, Fair Value of Assets, and Funded Status) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Pension Benefits [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Service cost | $13,789 | $10,942 | $9,323 |
Interest cost | 4,104 | 4,050 | 3,671 |
Other Postretirement Benefits [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Service cost | 2,296 | 1,832 | 1,354 |
Interest cost | 441 | 398 | 252 |
Change In Benefit Obligation [Member] | Pension Benefits [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Benefit obligation at January 1 | 105,432 | 81,738 | ' |
Service cost | 13,789 | 10,942 | ' |
Interest cost | 4,104 | 4,050 | ' |
Actuarial loss | -11,107 | 14,981 | ' |
Benefits paid | -8,492 | -6,951 | ' |
Plan amendments | ' | 672 | ' |
Settlements | -520 | ' | ' |
Benefit obligation at December 31 | 103,206 | 105,432 | ' |
Change In Benefit Obligation [Member] | Other Postretirement Benefits [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Benefit obligation at January 1 | 11,464 | 6,793 | ' |
Service cost | 2,296 | 1,832 | ' |
Interest cost | 441 | 398 | ' |
Participant contributions | 24 | 21 | ' |
Actuarial loss | -1,706 | 2,525 | ' |
Benefits paid | -139 | -105 | ' |
Benefit obligation at December 31 | 12,380 | 11,464 | ' |
Change In Plan Assets [Member] | Pension Benefits [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Employer contributions | 12,520 | 11,084 | ' |
Benefits paid | -8,492 | -6,951 | ' |
Settlements | -507 | ' | ' |
Fair value of plan assets at January 1 | 83,347 | 68,023 | ' |
Fair value of plan assets at December 31 | 99,339 | 83,347 | ' |
Actual return/(loss) on plan assets | 12,471 | 11,191 | ' |
Funded status of plans at December 31 | -3,867 | -22,085 | ' |
Change In Plan Assets [Member] | Other Postretirement Benefits [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Employer contributions | 115 | 84 | ' |
Participant contributions | 24 | 21 | ' |
Benefits paid | -139 | -105 | ' |
Funded status of plans at December 31 | ($12,380) | ($11,464) | ' |
Retirement_and_Employee_Benefi4
Retirement and Employee Benefit Plans (Projected Benefit Obligation, Accumulated Benefit Obligation and Fair Value of Plan Assets) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Retirement and Employee Benefit Plans [Abstract] | ' | ' |
Projected benefit obligation | $103,206 | $105,432 |
Accumulated benefit obligation | 100,208 | 100,379 |
Fair value of plan assets | $99,339 | $83,347 |
Retirement_and_Employee_Benefi5
Retirement and Employee Benefit Plans (Pension and Other Postretirement Benefit Costs) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Pension Benefits [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Service cost | $13,789 | $10,942 | $9,323 |
Interest cost | 4,104 | 4,050 | 3,671 |
Expected return on plan assets | -6,136 | -5,426 | -4,398 |
Amortization of prior service cost | 103 | 286 | 344 |
Amortization of net loss | 1,541 | 1,220 | 856 |
Net periodic benefit cost | 13,401 | 11,072 | 9,796 |
Settlements and curtailments | 70 | ' | ' |
Total benefit cost | 13,471 | 11,072 | 9,796 |
Other Postretirement Benefits [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Service cost | 2,296 | 1,832 | 1,354 |
Interest cost | 441 | 398 | 252 |
Amortization of transition obligation | ' | 64 | 64 |
Amortization of prior service cost | 14 | 14 | 14 |
Amortization of net loss | 120 | 93 | 11 |
Net periodic benefit cost | 2,871 | 2,401 | 1,695 |
Total benefit cost | $2,871 | $2,401 | $1,695 |
Retirement_and_Employee_Benefi6
Retirement and Employee Benefit Plans (Amounts Recognized in Other Comprehensive Income) (Details) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2013 |
Pension Benefits [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
Net actuarial loss arising during the year | $17,454 |
Amortization of prior service cost | 104 |
Amortization of net loss | 1,541 |
Settlements | 70 |
Tax effect | -7,535 |
Total | 11,634 |
Other Postretirement Benefits [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
Net actuarial loss arising during the year | 1,706 |
Amortization of prior service cost | 14 |
Amortization of net loss | 120 |
Tax effect | -721 |
Total | $1,119 |
Retirement_and_Employee_Benefi7
Retirement and Employee Benefit Plans (Pension Weighted Average Assumptions Used in the Measurement of Benefit Obligations) (Details) | Dec. 31, 2013 | Dec. 31, 2012 |
Pension Benefits [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Discount rate | 5.00% | 4.00% |
Rate of compensation increase | 4.50% | 4.50% |
Other Postretirement Benefits [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Discount rate | 5.00% | 4.00% |
Retirement_and_Employee_Benefi8
Retirement and Employee Benefit Plans (Weighted Average Assumptions Used in the Measurement of Net Periodic Benefit Cost) (Details) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Pension Benefits [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Discount rate | 4.00% | 5.00% | 5.50% |
Expected return on plan assets | 7.00% | 7.50% | 7.50% |
Rate of compensation increase | 4.50% | 4.50% | 4.50% |
Other Postretirement Benefits [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Discount rate | 4.00% | 5.00% | 5.50% |
Retirement_and_Employee_Benefi9
Retirement and Employee Benefit Plans (Measurement Purposes Following Trend Rates were Assumed) (Details) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Retirement and Employee Benefit Plans [Abstract] | ' | ' |
Health care cost trend assumed for next year | 8.00% | 8.00% |
Rate to which the cost trend is assumed to decline | 5.00% | 5.00% |
Year that the rate reaches the ultimate trend rate | '2032 | '2031 |
Recovered_Sheet3
Retirement and Employee Benefit Plans (One Percentage Point Change in Assumed Health Care Cost Trend Rates) (Details) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2013 |
Retirement and Employee Benefit Plans [Abstract] | ' |
Effect on total service and interest cost components increase | $457 |
Effect on total service and interest cost components decrease | -373 |
Effect on postretirement benefit obligations increase | 1,693 |
Effect on postretirement benefit obligation decrease | ($1,413) |
Recovered_Sheet4
Retirement and Employee Benefit Plans (Benefit Payments which Reflect Expected Future Service) (Details) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Pension Benefits [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
2013 | $6,384 |
2014 | 6,280 |
2015 | 8,075 |
2016 | 8,553 |
2017 | 9,517 |
2018-2022 | 58,894 |
Other Postretirement Benefits [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
2013 | 404 |
2014 | 542 |
2015 | 730 |
2016 | 801 |
2017 | 994 |
2018-2022 | $7,545 |
Recovered_Sheet5
Retirement and Employee Benefit Plans (Plan Assets Allocation to any Asset Class Falls Outside of the Specified Range) (Details) | 12 Months Ended | |
Dec. 31, 2013 | ||
Defined Benefit Plan Disclosure [Line Items] | ' | |
Target asset allocations | 100.00% | |
Actual asset allocations | 100.00% | |
U.S. Equity [Member] | ' | |
Defined Benefit Plan Disclosure [Line Items] | ' | |
Target asset allocations | 35.00% | [1] |
Actual asset allocations | 36.00% | [1] |
International Equity [Member] | ' | |
Defined Benefit Plan Disclosure [Line Items] | ' | |
Target asset allocations | 30.00% | [2] |
Actual asset allocations | 31.00% | [2] |
Emerging Market Equity [Member] | ' | |
Defined Benefit Plan Disclosure [Line Items] | ' | |
Target asset allocations | 5.00% | [3] |
Actual asset allocations | 6.00% | [3] |
Fixed Income [Member] | ' | |
Defined Benefit Plan Disclosure [Line Items] | ' | |
Target asset allocations | 29.00% | [4] |
Actual asset allocations | 26.00% | [4] |
Cash and Cash Equivalents [Member] | ' | |
Defined Benefit Plan Disclosure [Line Items] | ' | |
Target asset allocations | 1.00% | [5] |
Actual asset allocations | 1.00% | [5] |
[1] | Asset category above includes the following equity securities in the table below: U.S large cap growth equity, U.S. large cap value equity, U.S. large cap core equity, and U.S. small cap equity. | |
[2] | Asset category above includes Non-U.S. equity securities in the table below. | |
[3] | Asset category above includes Emerging markets equity securities below. | |
[4] | Asset category above includes Fixed income pension plan assets in the table below. | |
[5] | Asset category above includes Cash and cash equivalents pension plan assets in the table below. |
Recovered_Sheet6
Retirement and Employee Benefit Plans (Fair Value Measurement of Pension Plan Assets) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | ||
In Thousands, unless otherwise specified | ||||
Large Cap Growth Equity [Member] | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ||
Fair value of plan assets | $7,660 | [1] | $4,588 | [1] |
Large Cap Growth Equity [Member] | Quoted Prices in Active Markets for Identical Assets, Level 1 [Member] | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ||
Fair value of plan assets | 7,660 | [1] | 4,588 | [1] |
Large Cap Value Equity [Member] | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ||
Fair value of plan assets | 8,174 | [2] | 5,257 | [2] |
Large Cap Value Equity [Member] | Quoted Prices in Active Markets for Identical Assets, Level 1 [Member] | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ||
Fair value of plan assets | 8,174 | [2] | 5,257 | [2] |
Large Cap Core Equity [Member] | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ||
Fair value of plan assets | 16,438 | [3] | 11,564 | [3] |
Large Cap Core Equity [Member] | Significant Observable Inputs, Level 2 [Member] | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ||
Fair value of plan assets | 16,438 | [3] | 11,564 | [3] |
Small Cap Equity [Member] | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ||
Fair value of plan assets | 3,245 | [4] | 2,792 | [4] |
Small Cap Equity [Member] | Quoted Prices in Active Markets for Identical Assets, Level 1 [Member] | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ||
Fair value of plan assets | 3,245 | [4] | 2,792 | [4] |
International Equity [Member] | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ||
Fair value of plan assets | 30,628 | [5] | 21,891 | [5] |
International Equity [Member] | Quoted Prices in Active Markets for Identical Assets, Level 1 [Member] | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ||
Fair value of plan assets | 30,628 | [5] | 21,891 | [5] |
Emerging Market Equity [Member] | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ||
Fair value of plan assets | 6,374 | [6] | 4,454 | [6] |
Emerging Market Equity [Member] | Significant Observable Inputs, Level 2 [Member] | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ||
Fair value of plan assets | 6,374 | [6] | 4,454 | [6] |
Fixed Income [Member] | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ||
Fair value of plan assets | 25,523 | 31,021 | ||
Fixed Income [Member] | Significant Observable Inputs, Level 2 [Member] | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ||
Fair value of plan assets | 25,523 | 31,021 | ||
Cash and Cash Equivalents [Member] | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ||
Fair value of plan assets | 1,296 | 1,780 | ||
Cash and Cash Equivalents [Member] | Quoted Prices in Active Markets for Identical Assets, Level 1 [Member] | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ||
Fair value of plan assets | 1,296 | 1,780 | ||
Equity Securities [Member] | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ||
Fair value of plan assets | 99,338 | 83,347 | ||
Equity Securities [Member] | Quoted Prices in Active Markets for Identical Assets, Level 1 [Member] | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ||
Fair value of plan assets | 51,003 | 36,308 | ||
Equity Securities [Member] | Significant Observable Inputs, Level 2 [Member] | ' | ' | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ||
Fair value of plan assets | $48,335 | $47,039 | ||
[1] | Mutual fund that seeks to invest in a diversified portfolio of stocks with price appreciation growth opportunities. | |||
[2] | Mutual fund that seeks to invest in a diversified portfolio of stocks that will increase in value over the long-term as well as provide current income. | |||
[3] | An institutional fund that seeks to replicate the performance of the S&P 500 Index before fees. | |||
[4] | Mutual fund that seeks to invest in a diversified portfolio of stocks with small market capitalizations. | |||
[5] | Mutual funds that invest primarily in equity securities of companies domiciled outside of the United States, primarily in developed markets. | |||
[6] | An institutional fund that invests primarily in the equity securities of companies domiciled in emerging markets. |
StockBased_Compensation_Narrat
Stock-Based Compensation (Narrative) (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Expiration period from date of grant | '10 years | ' | ' |
Period of service for immediate vesting upon death, disability or retirement | '3 years | ' | ' |
Unrecognized compensation cost related to unvested stock option and restricted stock grants | $16,200,000 | ' | ' |
Weighted average period over which cost is recognized, years | '2 years 1 month 6 days | ' | ' |
2004 Plan [Member] | ' | ' | ' |
Maximum shares | 16,800,000 | ' | ' |
Expiration period from date of grant | '7 years | ' | ' |
2002 Plan [Member] | ' | ' | ' |
Maximum shares | 300,000 | ' | ' |
2000 Plan [Member] | ' | ' | ' |
Maximum shares | 1,125,000 | ' | ' |
Stock Options [Member] | ' | ' | ' |
Vesting period for stock awards from grant date | '3 years | ' | ' |
Stock-based compensation costs - expensed | 5,494,000 | 5,427,000 | 4,959,000 |
Stock-based compensation costs - capitalized | 4,812,000 | 4,468,000 | 3,365,000 |
Deferred tax benefit (liability) recorded | 4,000,000 | 2,200,000 | 1,700,000 |
Weighted-average grant-date fair value of options granted | $13.39 | $16.91 | $18.17 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Intrinsic Value | 21,700,000 | 44,100,000 | 27,000,000 |
Restricted Stock [Member] | ' | ' | ' |
Vesting period for stock awards from grant date | '4 years | ' | ' |
Stock-based compensation costs - expensed | 7,432,000 | 6,368,000 | 5,591,000 |
Stock-based compensation costs - capitalized | 7,469,000 | 5,994,000 | 5,162,000 |
Deferred tax benefit (liability) recorded | -14,800,000 | -1,400,000 | -2,100,000 |
Weighted-average grant-date fair value of options granted | $38.92 | $34.39 | $36.41 |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Share-based Awards Other than Options | 62,500,000 | ' | ' |
Weighted average period over which cost is recognized, restricted stock (years) | '3 years 4 months 24 days | ' | ' |
Total fair value of restricted stock grants | 43,200,000 | 18,500,000 | 19,400,000 |
Total fair value of shares vested | 13,900,000 | 12,600,000 | 10,900,000 |
Performance Shares [Member] | ' | ' | ' |
Vesting period for stock awards from grant date | '3 years | ' | ' |
Stock-based compensation costs - expensed | 3,300,000 | 19,100,000 | 15,800,000 |
Deferred tax benefit (liability) recorded | $45,300,000 | $41,300,000 | ' |
Maximum [Member] | 2004 Plan [Member] | ' | ' | ' |
Maximum shares | 20,500,000 | ' | ' |
StockBased_Compensation_Compen
Stock-Based Compensation (Compensation Costs Related To Stock Options) (Details) (Stock Options [Member], USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Stock Options [Member] | ' | ' | ' |
Stock-based compensation cost related to stock options - general and administrative expense | $5,494 | $5,427 | $4,959 |
Stock-based compensation cost related to stock options - capitalized | $4,812 | $4,468 | $3,365 |
StockBased_Compensation_RiskFr
Stock-Based Compensation (Risk-Free Interest Rate) (Details) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Stock-Based Compensation [Abstract] | ' | ' | ' |
Risk-free interest rate | 1.50% | 0.60% | 0.90% |
Expected volatility | 38.60% | 58.20% | 58.10% |
Expected term | '5 years | '5 years | '5 years |
StockBased_Compensation_Summar
Stock-Based Compensation (Summary of Options Outstanding and Options Exerciseable) (Details) (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Stock options, Outstanding at January 1, Number of options | 3,649,520 | 4,741,732 | 4,769,122 |
Stock options, Granted, Number of options | 571,166 | 613,120 | 853,478 |
Stock options, Exercised, Number of options | -833,132 | -1,607,784 | -850,659 |
Stock options, Forfeited or expired, Number of options | -74,861 | -97,548 | -30,209 |
Stock options, Outstanding at December 31, Number of options | 3,312,693 | 3,649,520 | 4,741,732 |
Stock options, Outstanding at January 1, Weighted average exercise price | $29.84 | $21.24 | $16.13 |
Stock options, Granted, Weighted average exercise price | $38.95 | $34.34 | $36.64 |
Stock options, Exercised, Weighted average exercise price | $12.12 | $5.71 | $7.54 |
Stock options, Forfeited or expired, Weighted average exercise price | $37.31 | $37.76 | $35.46 |
Stock options, Outstanding at December 31, Weighted average exercise price | $35.70 | $29.84 | $21.24 |
Stock Options [Member] | ' | ' | ' |
Stock options, Outstanding at December 31, Number of options | 3,312,693 | ' | ' |
Stock options, Outstanding at December 31, Weighted average exercise price | $35.70 | ' | ' |
Options Outstanding - Weighted Average Remaining Contractual Life (Years) | '4 years 4 months 24 days | ' | ' |
Options Outstanding - Aggregate Intrinsic Value (thousands) | $12,882 | ' | ' |
Stock options, Exercisable at December 31, | 2,103,828 | ' | ' |
Stock options Exercisable at December 31, Weighted average exercise price | $34.96 | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Weighted Average Remaining Contractual Term | '2 years 10 months 24 days | ' | ' |
Options Exercisable - Weighted Average Remaining Contractual Life (Years) | '2 years 10 months 24 days | ' | ' |
Options Exercisable - Aggregate Intrinsic Value (thousands) | $10,022 | ' | ' |
Range of Exercise Prices $20.34-$29.69 [Member] | Stock Options [Member] | ' | ' | ' |
Stock options, Outstanding at December 31, Number of options | 273,134 | ' | ' |
Stock options, Outstanding at December 31, Weighted average exercise price | $27.31 | ' | ' |
Options Outstanding - Weighted Average Remaining Contractual Life (Years) | '1 year 2 months 12 days | ' | ' |
Stock options, Exercisable at December 31, | 265,025 | ' | ' |
Stock options Exercisable at December 31, Weighted average exercise price | $27.29 | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Weighted Average Remaining Contractual Term | '1 year 1 month 6 days | ' | ' |
Options Exercisable - Weighted Average Remaining Contractual Life (Years) | '1 year 1 month 6 days | ' | ' |
Range of Exercise Prices $30.23-$35.91 [Member] | Stock Options [Member] | ' | ' | ' |
Stock options, Outstanding at December 31, Number of options | 1,087,218 | ' | ' |
Stock options, Outstanding at December 31, Weighted average exercise price | $33.09 | ' | ' |
Options Outstanding - Weighted Average Remaining Contractual Life (Years) | '4 years 3 months 18 days | ' | ' |
Stock options, Exercisable at December 31, | 677,387 | ' | ' |
Stock options Exercisable at December 31, Weighted average exercise price | $32.32 | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Weighted Average Remaining Contractual Term | '3 years 4 months 24 days | ' | ' |
Options Exercisable - Weighted Average Remaining Contractual Life (Years) | '3 years 4 months 24 days | ' | ' |
Range of Exercise Prices $36.22-$39.91 [Member] | Stock Options [Member] | ' | ' | ' |
Stock options, Outstanding at December 31, Number of options | 1,587,066 | ' | ' |
Stock options, Outstanding at December 31, Weighted average exercise price | $37.56 | ' | ' |
Options Outstanding - Weighted Average Remaining Contractual Life (Years) | '5 years 4 months 24 days | ' | ' |
Stock options, Exercisable at December 31, | 803,412 | ' | ' |
Stock options Exercisable at December 31, Weighted average exercise price | $36.74 | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Weighted Average Remaining Contractual Term | '4 years 4 months 24 days | ' | ' |
Options Exercisable - Weighted Average Remaining Contractual Life (Years) | '4 years 4 months 24 days | ' | ' |
Range of Exercise Prices $40.15-$51.47 [Member] | Stock Options [Member] | ' | ' | ' |
Stock options, Outstanding at December 31, Number of options | 365,275 | ' | ' |
Stock options, Outstanding at December 31, Weighted average exercise price | $41.64 | ' | ' |
Options Outstanding - Weighted Average Remaining Contractual Life (Years) | '3 years | ' | ' |
Stock options, Exercisable at December 31, | 358,004 | ' | ' |
Stock options Exercisable at December 31, Weighted average exercise price | $41.62 | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Weighted Average Remaining Contractual Term | '2 years 10 months 24 days | ' | ' |
Options Exercisable - Weighted Average Remaining Contractual Life (Years) | '2 years 10 months 24 days | ' | ' |
StockBased_Compensation_Compen1
Stock-Based Compensation (Compensation Costs Related To Restricted Stock Grants) (Details) (Restricted Stock [Member], USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Restricted Stock [Member] | ' | ' | ' |
Stock-based compensation cost related to stock options - general and administrative expense | $7,432 | $6,368 | $5,591 |
Stock-based compensation cost related to stock options - capitalized | $7,469 | $5,994 | $5,162 |
StockBased_Compensation_Summar1
Stock-Based Compensation (Summary of Restricted Stock Activity and Unvested Shares) (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Stock Options [Member] | ' | ' | ' |
Restricted Stock, Granted, Weighted Average Grant Date Fair Value | $13.39 | $16.91 | $18.17 |
Restricted Stock [Member] | ' | ' | ' |
Restricted Stock, Unvested shares at January 1, Number of Shares | 1,117,515 | 1,019,737 | 834,058 |
Restricted Stock, Granted, Number of Shares | 1,108,852 | 537,244 | 532,754 |
Restricted Stock, Vested, Number of Shares | -381,676 | -344,164 | -294,358 |
Restricted Stock, Forfeited, Number of Shares | -73,769 | -95,302 | -52,717 |
Restricted Stock, Unvested shares at December 31, Number of Shares | 1,770,922 | 1,117,515 | 1,019,737 |
Restricted Stock, Unvested shares at January 1, Weighted Average Grant Date Fair Value | $35.64 | $36.71 | $36.24 |
Restricted Stock, Granted, Weighted Average Grant Date Fair Value | $38.92 | $34.39 | $36.41 |
Restricted Stock, Vested, Weighted Average Grant Date Fair Value | $36.29 | $36.50 | $34.90 |
Restricted Stock, Forfeited, Weighted Average Grant Date Fair Value | $35.81 | $36.97 | $36.45 |
Restricted Stock, Unvested shares at December 31, Weighted Average Grant Date Fair Value | $37.55 | $35.64 | $36.71 |
Segment_Information_Details
Segment Information (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||||
Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||||||
Revenues from external customers | $907,089,000 | $868,366,000 | $862,041,000 | $733,649,000 | $777,355,000 | $691,727,000 | $606,076,000 | $654,835,000 | $3,371,145,000 | $2,729,993,000 | $2,951,332,000 | |||||
Intersegment revenues | ' | ' | ' | ' | ' | ' | ' | ' | 2,380,043,000 | 1,599,524,000 | 2,010,369,000 | |||||
Operating income (loss) | 317,117,000 | 309,229,000 | 325,317,000 | 251,960,000 | -572,947,000 | -65,959,000 | -646,046,000 | 184,326,000 | 1,203,623,000 | -1,100,626,000 | [1] | 1,073,227,000 | ||||
Other income (loss), net | ' | ' | ' | ' | ' | ' | ' | ' | 2,207,000 | 1,030,000 | 264,000 | |||||
Gain (loss) on derivatives | ' | ' | ' | ' | ' | ' | ' | ' | 26,141,000 | -14,950,000 | 1,574,000 | |||||
Depreciation, depletion and amortization expense | ' | ' | ' | ' | ' | ' | ' | ' | 786,612,000 | 810,953,000 | 704,511,000 | |||||
Impairment of natural gas and oil properties | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,939,734,000 | ' | |||||
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | 41,594,000 | [2] | 35,657,000 | [2] | 24,075,000 | [2] | ||
Provision (benefit) for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 486,874,000 | [2] | -443,139,000 | [2] | 413,221,000 | [2] | ||
Assets | 8,047,726,000 | ' | ' | ' | 6,737,527,000 | ' | ' | ' | 8,047,726,000 | 6,737,527,000 | 7,902,897,000 | |||||
Capital investments | ' | ' | ' | ' | ' | ' | ' | ' | 2,234,797,000 | [3] | 2,080,519,000 | [3] | 2,207,174,000 | [3] | ||
Change in accrued expenditures | ' | ' | ' | ' | ' | ' | ' | ' | -24,900,000 | -36,900,000 | -4,300,000 | |||||
Intersegment revenues for marketing company's E&P sales | ' | ' | ' | ' | ' | ' | ' | ' | 2,000,000,000 | 1,300,000,000 | 1,700,000,000 | |||||
Capital investment related to companys E&P segment related to Canada for December 31, 2012 and 2011 | ' | ' | ' | ' | ' | ' | ' | ' | 35,400,000 | 11,600,000 | 18,700,000 | |||||
Assets related to E&P program in Canada | 79,200,000 | ' | ' | ' | 44,400,000 | ' | ' | ' | 79,200,000 | 44,400,000 | 28,400,000 | |||||
Non-cash ceiling test impairment | ' | ' | ' | ' | ' | ' | ' | ' | 1,939,700,000 | ' | ' | |||||
Exploration and Production [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Revenues from external customers | ' | ' | ' | ' | ' | ' | ' | ' | 2,398,214,000 | 1,964,624,000 | 2,087,189,000 | |||||
Intersegment revenues | ' | ' | ' | ' | ' | ' | ' | ' | 5,951,000 | -1,452,000 | 11,725,000 | |||||
Operating income (loss) | ' | ' | ' | ' | ' | ' | ' | ' | 878,701,000 | -1,396,261,000 | [1] | 823,564,000 | ||||
Other income (loss), net | ' | ' | ' | ' | ' | ' | ' | ' | 2,741,000 | -1,156,000 | 328,000 | |||||
Gain (loss) on derivatives | ' | ' | ' | ' | ' | ' | ' | ' | 25,670,000 | -14,950,000 | 1,574,000 | |||||
Depreciation, depletion and amortization expense | ' | ' | ' | ' | ' | ' | ' | ' | 735,215,000 | 765,368,000 | 666,125,000 | |||||
Impairment of natural gas and oil properties | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,939,734,000 | ' | |||||
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | 30,244,000 | [2] | 20,315,000 | [2] | 9,026,000 | [2] | ||
Provision (benefit) for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 368,320,000 | [2] | -548,556,000 | [2] | 322,714,000 | [2] | ||
Assets | 6,356,799,000 | [4] | ' | ' | ' | 5,193,733,000 | [4] | ' | ' | ' | 6,356,799,000 | [4] | 5,193,733,000 | [4] | 6,547,117,000 | [4] |
Capital investments | ' | ' | ' | ' | ' | ' | ' | ' | 2,052,148,000 | [3] | 1,860,681,000 | [3] | 1,977,493,000 | [3] | ||
Midstream Services [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Revenues from external customers | ' | ' | ' | ' | ' | ' | ' | ' | 972,832,000 | 765,255,000 | 864,096,000 | |||||
Intersegment revenues | ' | ' | ' | ' | ' | ' | ' | ' | 2,373,851,000 | 1,598,225,000 | 1,995,423,000 | |||||
Operating income (loss) | ' | ' | ' | ' | ' | ' | ' | ' | 325,435,000 | 294,302,000 | [1] | 247,952,000 | ||||
Other income (loss), net | ' | ' | ' | ' | ' | ' | ' | ' | -1,000 | 132,000 | -91,000 | |||||
Gain (loss) on derivatives | ' | ' | ' | ' | ' | ' | ' | ' | 480,000 | ' | ' | |||||
Depreciation, depletion and amortization expense | ' | ' | ' | ' | ' | ' | ' | ' | 50,940,000 | 44,395,000 | 37,261,000 | |||||
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | 10,619,000 | [2] | 14,341,000 | [2] | 15,049,000 | [2] | ||
Provision (benefit) for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 119,223,000 | [2] | 104,522,000 | [2] | 90,221,000 | [2] | ||
Assets | 1,427,294,000 | ' | ' | ' | 1,273,228,000 | ' | ' | ' | 1,427,294,000 | 1,273,228,000 | 1,119,861,000 | |||||
Capital investments | ' | ' | ' | ' | ' | ' | ' | ' | 157,635,000 | [3] | 164,978,000 | [3] | 160,776,000 | [3] | ||
Other [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Revenues from external customers | ' | ' | ' | ' | ' | ' | ' | ' | 99,000 | 114,000 | 47,000 | |||||
Intersegment revenues | ' | ' | ' | ' | ' | ' | ' | ' | 241,000 | 2,751,000 | 3,221,000 | |||||
Operating income (loss) | ' | ' | ' | ' | ' | ' | ' | ' | -513,000 | 1,333,000 | [1] | 1,711,000 | ||||
Other income (loss), net | ' | ' | ' | ' | ' | ' | ' | ' | -533,000 | 2,054,000 | 27,000 | |||||
Gain (loss) on derivatives | ' | ' | ' | ' | ' | ' | ' | ' | -9,000 | ' | ' | |||||
Depreciation, depletion and amortization expense | ' | ' | ' | ' | ' | ' | ' | ' | 457,000 | 1,190,000 | 1,125,000 | |||||
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | 731,000 | [2] | 1,001,000 | [2] | ' | |||
Provision (benefit) for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | -669,000 | [2] | 895,000 | [2] | 286,000 | [2] | ||
Assets | 263,633,000 | ' | ' | ' | 270,566,000 | ' | ' | ' | 263,633,000 | 270,566,000 | 235,919,000 | |||||
Capital investments | ' | ' | ' | ' | ' | ' | ' | ' | $25,014,000 | [3] | $54,860,000 | [3] | $68,905,000 | [3] | ||
[1] | The operating loss for the E&P segment for the twelve months ended December 31, 2012 includes a $1,939.7 million non-cash ceiling test impairment of our natural gas and oil properties. | |||||||||||||||
[2] | Interest expense and the provision (benefit) for income taxes by segment are an allocation of corporate amounts as they are incurred at the corporate level. | |||||||||||||||
[3] | Capital investments include a decrease of $24.9 million for 2013, a decrease of $36.9 million for 2012 and an increase of $4.3 million for 2011 related to the change in accrued expenditures between years. | |||||||||||||||
[4] | Includes office, technology, drilling rigs and other ancillary equipment not directly related to natural gas and oil property acquisition, exploration and development activities. |
Quarterly_Results_Unaudited_De
Quarterly Results (Unaudited) (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Quarterly Financial Data [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Operating Revenues | $907,089 | $868,366 | $862,041 | $733,649 | $777,355 | $691,727 | $606,076 | $654,835 | $3,371,145 | $2,729,993 | $2,951,332 | |
Operating income (loss) | 317,117 | 309,229 | 325,317 | 251,960 | -572,947 | -65,959 | -646,046 | 184,326 | 1,203,623 | -1,100,626 | [1] | 1,073,227 |
Net income (loss) | $144,490 | $185,867 | $245,631 | $127,515 | ($355,583) | ($54,053) | ($405,132) | $107,704 | $703,503 | ($707,064) | $637,769 | |
Earnings per share attributable to Southwestern Energy stockholders - Basic | $0.41 | $0.53 | $0.70 | $0.36 | ($1.02) | ($0.16) | ($1.16) | $0.31 | $2.01 | ($2.03) | $1.84 | |
Earnings per share attributable to Southwestern Energy stockholders - Diluted | $0.41 | $0.53 | $0.70 | $0.36 | ($1.02) | ($0.16) | ($1.16) | $0.31 | $2 | ($2.03) | $1.82 | |
[1] | The operating loss for the E&P segment for the twelve months ended December 31, 2012 includes a $1,939.7 million non-cash ceiling test impairment of our natural gas and oil properties. |
Condensed_Consolidating_Financ2
Condensed Consolidating Financial Information (Condensed Consolidating Statement of Operations) (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
Operating Revenues | $907,089 | $868,366 | $862,041 | $733,649 | $777,355 | $691,727 | $606,076 | $654,835 | $3,371,145 | $2,729,993 | $2,951,332 | |||
Gas purchases | ' | ' | ' | ' | ' | ' | ' | ' | 781,626 | 592,466 | 709,091 | |||
Operating expenses | ' | ' | ' | ' | ' | ' | ' | ' | 328,503 | 244,735 | 240,944 | |||
General and administrative expenses | ' | ' | ' | ' | ' | ' | ' | ' | 191,310 | 175,147 | 158,041 | |||
Depreciation, depletion and amortization | ' | ' | ' | ' | ' | ' | ' | ' | 786,612 | 810,953 | 704,511 | |||
Impairment of natural gas and oil properties | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,939,734 | ' | |||
Taxes, other than income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 79,471 | 67,584 | 65,518 | |||
Total operating costs and expenses | ' | ' | ' | ' | ' | ' | ' | ' | 2,167,522 | 3,830,619 | 1,878,105 | |||
Operating Income (Loss) | 317,117 | 309,229 | 325,317 | 251,960 | -572,947 | -65,959 | -646,046 | 184,326 | 1,203,623 | -1,100,626 | [1] | 1,073,227 | ||
Other income (loss), net | ' | ' | ' | ' | ' | ' | ' | ' | 2,207 | 1,030 | 264 | |||
Gain (loss) on derivatives | ' | ' | ' | ' | ' | ' | ' | ' | 26,141 | -14,950 | 1,574 | |||
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | 41,594 | [2] | 35,657 | [2] | 24,075 | [2] |
Income (Loss) Before Income Taxes | ' | ' | ' | ' | ' | ' | ' | ' | 1,190,377 | -1,150,203 | 1,050,990 | |||
Provision (benefit) for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 486,874 | [2] | -443,139 | [2] | 413,221 | [2] |
Net income (loss) | 144,490 | 185,867 | 245,631 | 127,515 | -355,583 | -54,053 | -405,132 | 107,704 | 703,503 | -707,064 | 637,769 | |||
Comprehensive income (loss) | ' | ' | ' | ' | ' | ' | ' | ' | 549,357 | -965,688 | 962,222 | |||
Parent [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Equity in earnings of subsidiaries | ' | ' | ' | ' | ' | ' | ' | ' | ' | -707,064 | 637,769 | |||
Income (Loss) Before Income Taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | -707,064 | 637,769 | |||
Net income (loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | -707,064 | 637,769 | |||
Comprehensive income (loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | -965,688 | 962,222 | |||
Guarantors [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Operating Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,556,634 | 2,801,811 | |||
Gas purchases | ' | ' | ' | ' | ' | ' | ' | ' | ' | 593,091 | 710,487 | |||
Operating expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | 423,147 | 380,154 | |||
General and administrative expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | 151,488 | 141,499 | |||
Depreciation, depletion and amortization | ' | ' | ' | ' | ' | ' | ' | ' | ' | 765,623 | 665,615 | |||
Impairment of natural gas and oil properties | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,939,734 | ' | |||
Taxes, other than income taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | 56,262 | 53,950 | |||
Total operating costs and expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,929,345 | 1,951,705 | |||
Operating Income (Loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | -1,372,711 | 850,106 | |||
Other income (loss), net | ' | ' | ' | ' | ' | ' | ' | ' | ' | -1,143 | 306 | |||
Gain (loss) on derivatives | ' | ' | ' | ' | ' | ' | ' | ' | ' | -14,950 | 1,574 | |||
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | 22,312 | 11,277 | |||
Income (Loss) Before Income Taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | -1,411,116 | 840,709 | |||
Provision (benefit) for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | -538,357 | 332,795 | |||
Net income (loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | -872,759 | 507,914 | |||
Comprehensive income (loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | -1,125,454 | 836,291 | |||
Non-Guarantors [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Operating Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | 476,997 | 411,998 | |||
Operating expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | 121,953 | 118,713 | |||
General and administrative expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | 26,307 | 19,700 | |||
Depreciation, depletion and amortization | ' | ' | ' | ' | ' | ' | ' | ' | ' | 45,330 | 38,896 | |||
Taxes, other than income taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | 11,321 | 11,568 | |||
Total operating costs and expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | 204,911 | 188,877 | |||
Operating Income (Loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | 272,086 | 223,121 | |||
Other income (loss), net | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,173 | -42 | |||
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | 13,345 | 12,798 | |||
Income (Loss) Before Income Taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | 260,914 | 210,281 | |||
Provision (benefit) for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | 95,218 | 80,426 | |||
Net income (loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | 165,696 | 129,855 | |||
Comprehensive income (loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | 166,225 | 129,294 | |||
Eliminations [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Operating Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | -303,638 | -262,477 | |||
Gas purchases | ' | ' | ' | ' | ' | ' | ' | ' | ' | -625 | -1,396 | |||
Operating expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | -300,365 | -257,923 | |||
General and administrative expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | -2,648 | -3,158 | |||
Taxes, other than income taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1 | ' | |||
Total operating costs and expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | -303,637 | -262,477 | |||
Operating Income (Loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | -1 | ' | |||
Equity in earnings of subsidiaries | ' | ' | ' | ' | ' | ' | ' | ' | ' | 707,064 | -637,769 | |||
Income (Loss) Before Income Taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | 707,063 | -637,769 | |||
Net income (loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | 707,063 | -637,769 | |||
Comprehensive income (loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | $959,229 | ($965,585) | |||
7.5% Senior Notes due 2018 [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Debt instrument, interest rate, stated percentage | 7.50% | ' | ' | ' | 7.50% | ' | ' | ' | 7.50% | 7.50% | ' | |||
Stated interest rate | 7.50% | ' | ' | ' | 7.50% | ' | ' | ' | 7.50% | 7.50% | ' | |||
4.10% Senior Notes Due 2022 [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Debt instrument, interest rate, stated percentage | 4.10% | ' | ' | ' | 4.10% | ' | ' | ' | 4.10% | 4.10% | ' | |||
Stated interest rate | 4.10% | ' | ' | ' | 4.10% | ' | ' | ' | 4.10% | 4.10% | ' | |||
7.15% Senior Notes due 2018 [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Debt instrument, interest rate, stated percentage | 7.15% | ' | ' | ' | 7.15% | ' | ' | ' | 7.15% | 7.15% | ' | |||
Stated interest rate | 7.15% | ' | ' | ' | 7.15% | ' | ' | ' | 7.15% | 7.15% | ' | |||
7.35% Senior Notes due 2017 [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Debt instrument, interest rate, stated percentage | 7.35% | ' | ' | ' | 7.35% | ' | ' | ' | 7.35% | 7.35% | ' | |||
Stated interest rate | 7.35% | ' | ' | ' | 7.35% | ' | ' | ' | 7.35% | 7.35% | ' | |||
7.125% Senior Notes due 2017 [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Debt instrument, interest rate, stated percentage | 7.13% | ' | ' | ' | 7.13% | ' | ' | ' | 7.13% | 7.13% | ' | |||
Stated interest rate | 7.13% | ' | ' | ' | 7.13% | ' | ' | ' | 7.13% | 7.13% | ' | |||
[1] | The operating loss for the E&P segment for the twelve months ended December 31, 2012 includes a $1,939.7 million non-cash ceiling test impairment of our natural gas and oil properties. | |||||||||||||
[2] | Interest expense and the provision (benefit) for income taxes by segment are an allocation of corporate amounts as they are incurred at the corporate level. |
Condensed_Consolidating_Financ3
Condensed Consolidating Financial Information (Condensed Consolidating Balance Sheets) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
In Thousands, unless otherwise specified | ||||
Cash and cash equivalents | $22,938 | $53,583 | $15,627 | $16,055 |
Restricted cash | ' | 8,542 | ' | ' |
Accounts receivable | 464,045 | 377,638 | ' | ' |
Inventories | 37,745 | 28,141 | ' | ' |
Other current assets | ' | 341,008 | ' | ' |
Total current assets | 644,175 | 808,912 | ' | ' |
Property and equipment | ' | 13,028,439 | ' | ' |
Less: Accumulated depreciation, depletion and amortization | -8,005,836 | -7,191,463 | ' | ' |
Total property and equipment, net | 7,296,623 | 5,836,976 | ' | ' |
Other assets | 106,928 | 91,639 | ' | ' |
TOTAL ASSETS | 8,047,726 | 6,737,527 | 7,902,897 | ' |
Accounts payable | ' | 556,980 | ' | ' |
Other current liabilities | ' | 210,791 | ' | ' |
Total current liabilities | 688,011 | 767,771 | ' | ' |
Long-term debt | 1,950,096 | 1,668,273 | ' | ' |
Deferred income taxes | 1,532,329 | 1,049,138 | ' | ' |
Other liabilities | ' | 216,473 | ' | ' |
Total liabilities | ' | 3,701,655 | ' | ' |
Total Equity | 3,622,030 | 3,035,872 | 3,969,304 | 2,964,876 |
TOTAL LIABILITIES AND EQUITY | 8,047,726 | 6,737,527 | ' | ' |
Parent [Member] | ' | ' | ' | ' |
Cash and cash equivalents | ' | 47,491 | 14,711 | 8,381 |
Accounts receivable | ' | 2,677 | ' | ' |
Inventories | ' | 2 | ' | ' |
Other current assets | ' | 7,461 | ' | ' |
Total current assets | ' | 66,173 | ' | ' |
Intercompany receivables | ' | 2,259,713 | ' | ' |
Property and equipment | ' | 220,837 | ' | ' |
Less: Accumulated depreciation, depletion and amortization | ' | -82,178 | ' | ' |
Total property and equipment, net | ' | 138,659 | ' | ' |
Investments in subsidiaries (equity method) | ' | 2,309,947 | ' | ' |
Other assets | ' | 35,136 | ' | ' |
TOTAL ASSETS | ' | 4,809,628 | ' | ' |
Accounts payable | ' | 140,367 | ' | ' |
Other current liabilities | ' | 3,758 | ' | ' |
Total current liabilities | ' | 144,125 | ' | ' |
Long-term debt | ' | 1,668,273 | ' | ' |
Deferred income taxes | ' | -116,207 | ' | ' |
Other liabilities | ' | 77,565 | ' | ' |
Total liabilities | ' | 1,773,756 | ' | ' |
Total Equity | ' | 3,035,872 | ' | ' |
TOTAL LIABILITIES AND EQUITY | ' | 4,809,628 | ' | ' |
Guarantors [Member] | ' | ' | ' | ' |
Cash and cash equivalents | ' | 5,988 | ' | 7,631 |
Accounts receivable | ' | 353,607 | ' | ' |
Inventories | ' | 26,975 | ' | ' |
Other current assets | ' | 321,396 | ' | ' |
Total current assets | ' | 707,966 | ' | ' |
Intercompany receivables | ' | 42 | ' | ' |
Property and equipment | ' | 11,491,222 | ' | ' |
Less: Accumulated depreciation, depletion and amortization | ' | -6,923,106 | ' | ' |
Total property and equipment, net | ' | 4,568,116 | ' | ' |
Other assets | ' | 42,247 | ' | ' |
TOTAL ASSETS | ' | 5,318,371 | ' | ' |
Accounts payable | ' | 375,604 | ' | ' |
Other current liabilities | ' | 205,623 | ' | ' |
Total current liabilities | ' | 581,227 | ' | ' |
Intercompany payables | ' | 2,108,360 | ' | ' |
Deferred income taxes | ' | 820,279 | ' | ' |
Other liabilities | ' | 124,505 | ' | ' |
Total liabilities | ' | 3,634,371 | ' | ' |
Total Equity | ' | 1,684,000 | ' | ' |
TOTAL LIABILITIES AND EQUITY | ' | 5,318,371 | ' | ' |
Non-Guarantors [Member] | ' | ' | ' | ' |
Cash and cash equivalents | ' | 104 | 916 | 43 |
Accounts receivable | ' | 21,354 | ' | ' |
Inventories | ' | 1,164 | ' | ' |
Other current assets | ' | 12,151 | ' | ' |
Total current assets | ' | 34,773 | ' | ' |
Intercompany receivables | ' | 27,077 | ' | ' |
Property and equipment | ' | 1,316,380 | ' | ' |
Less: Accumulated depreciation, depletion and amortization | ' | -186,179 | ' | ' |
Total property and equipment, net | ' | 1,130,201 | ' | ' |
Other assets | ' | 14,256 | ' | ' |
TOTAL ASSETS | ' | 1,206,307 | ' | ' |
Accounts payable | ' | 41,009 | ' | ' |
Other current liabilities | ' | 1,410 | ' | ' |
Total current liabilities | ' | 42,419 | ' | ' |
Intercompany payables | ' | 178,472 | ' | ' |
Deferred income taxes | ' | 345,066 | ' | ' |
Other liabilities | ' | 14,403 | ' | ' |
Total liabilities | ' | 580,360 | ' | ' |
Total Equity | ' | 625,947 | ' | ' |
TOTAL LIABILITIES AND EQUITY | ' | 1,206,307 | ' | ' |
Eliminations [Member] | ' | ' | ' | ' |
Intercompany receivables | ' | -2,286,832 | ' | ' |
Investments in subsidiaries (equity method) | ' | -2,309,947 | ' | ' |
TOTAL ASSETS | ' | -4,596,779 | ' | ' |
Intercompany payables | ' | -2,286,832 | ' | ' |
Total liabilities | ' | -2,286,832 | ' | ' |
Total Equity | ' | -2,309,947 | ' | ' |
TOTAL LIABILITIES AND EQUITY | ' | ($4,596,779) | ' | ' |
Condensed_Consolidating_Financ4
Condensed Consolidating Financial Information (Condensed Consolidating Statements of Cash Flows) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Net cash provided by (used in) operating activities | $1,908,528 | $1,653,942 | $1,739,817 |
Capital investments | -2,252,647 | -2,107,755 | -2,184,474 |
Proceeds from sale of property and equipment | ' | 201,101 | 154,526 |
Transfers to restricted cash | 8,542 | -167,788 | -85,055 |
Transfers from Restricted Cash | ' | 159,246 | 85,055 |
Other | 10,166 | 8,519 | 5,158 |
Net cash used in investing activities | -2,215,776 | -1,906,677 | -2,024,790 |
Payments on current portion of long-term debt | -1,200 | -1,200 | -1,200 |
Payments on revolving long-term debt | -3,147,750 | -2,263,900 | -3,445,900 |
Borrowings under revolving long-term debt | 3,430,650 | 1,592,400 | 3,696,200 |
Proceeds from issuance of long-term debt | ' | 998,780 | ' |
Other | ' | -35,191 | 35,203 |
Net cash provided by (used in) financing activities | 277,199 | 290,889 | 284,303 |
Effect of exchange rate changes on cash | -596 | -198 | 242 |
Increase (decrease) in cash and cash equivalents | -30,645 | 37,956 | -428 |
Cash and cash equivalents at beginning of year | 53,583 | 15,627 | 16,055 |
Cash and cash equivalents at end of year | 22,938 | 53,583 | 15,627 |
Parent [Member] | ' | ' | ' |
Net cash provided by (used in) operating activities | ' | -39,934 | 14,688 |
Capital investments | ' | -36,918 | -66,647 |
Proceeds from sale of property and equipment | ' | 26,006 | ' |
Transfers to restricted cash | ' | -167,788 | -85,055 |
Transfers from Restricted Cash | ' | 159,245 | 85,055 |
Other | ' | -696 | 16,263 |
Net cash used in investing activities | ' | -20,151 | -50,384 |
Intercompany activities | ' | -198,023 | -242,277 |
Payments on current portion of long-term debt | ' | -1,200 | -1,200 |
Payments on revolving long-term debt | ' | -2,263,900 | -3,445,900 |
Borrowings under revolving long-term debt | ' | 1,592,400 | 3,696,200 |
Other | ' | -35,192 | 35,203 |
Net cash provided by (used in) financing activities | ' | 92,865 | 42,026 |
Increase (decrease) in cash and cash equivalents | ' | 32,780 | 6,330 |
Cash and cash equivalents at beginning of year | ' | 14,711 | 8,381 |
Cash and cash equivalents at end of year | ' | 47,491 | 14,711 |
Guarantors [Member] | ' | ' | ' |
Net cash provided by (used in) operating activities | ' | 1,278,673 | 1,482,853 |
Capital investments | ' | -1,868,487 | -1,916,246 |
Proceeds from sale of property and equipment | ' | 169,149 | 154,261 |
Transfers from Restricted Cash | ' | 1 | ' |
Other | ' | -35,792 | -43,961 |
Net cash used in investing activities | ' | -1,735,129 | -1,805,946 |
Intercompany activities | ' | 462,443 | 315,462 |
Other | ' | 1 | ' |
Net cash provided by (used in) financing activities | ' | 462,444 | 315,462 |
Increase (decrease) in cash and cash equivalents | ' | 5,988 | -7,631 |
Cash and cash equivalents at beginning of year | ' | ' | 7,631 |
Cash and cash equivalents at end of year | ' | 5,988 | ' |
Non-Guarantors [Member] | ' | ' | ' |
Net cash provided by (used in) operating activities | ' | 415,203 | 242,276 |
Capital investments | ' | -202,350 | -201,581 |
Proceeds from sale of property and equipment | ' | 5,946 | 265 |
Other | ' | 45,007 | 32,856 |
Net cash used in investing activities | ' | -151,397 | -168,460 |
Intercompany activities | ' | -264,420 | -73,185 |
Net cash provided by (used in) financing activities | ' | -264,420 | -73,185 |
Effect of exchange rate changes on cash | ' | -198 | 242 |
Increase (decrease) in cash and cash equivalents | ' | -812 | 873 |
Cash and cash equivalents at beginning of year | ' | 916 | 43 |
Cash and cash equivalents at end of year | ' | $104 | $916 |