Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2017 | Aug. 01, 2017 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q2 | |
Entity Registrant Name | SOUTHWESTERN ENERGY CO | |
Entity Central Index Key | 7,332 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 509,168,651 | |
Trading Symbol | SWN |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Operating Revenues: | ||||
Gas sales | $ 471 | $ 251 | $ 974 | $ 566 |
Oil sales | 23 | 20 | 46 | 31 |
NGL sales | 37 | 20 | 77 | 37 |
Marketing | 250 | 196 | 503 | 394 |
Gas gathering | 30 | 35 | 57 | 73 |
Total Operating Revenues | 811 | 522 | 1,657 | 1,101 |
Operating Costs and Expenses: | ||||
Marketing purchases | 253 | 197 | 504 | 393 |
Operating expenses | 164 | 151 | 311 | 316 |
General and administrative expenses | 58 | 56 | 108 | 110 |
Restructuring charges | 11 | 75 | ||
Depreciation, depletion and amortization | 123 | 107 | 229 | 250 |
Impairment of natural gas and oil properties | 470 | 1,504 | ||
Taxes, other than income taxes | 25 | 22 | 51 | 45 |
Total Operating Costs and Expenses | 623 | 1,014 | 1,203 | 2,693 |
Operating Income (Loss) | 188 | (492) | 454 | (1,592) |
Interest Expense: | ||||
Interest on debt | 59 | 56 | 117 | 109 |
Other interest charges | 3 | 2 | 5 | 4 |
Interest capitalized | (28) | (41) | (56) | (82) |
Total Interest Expense | 34 | 17 | 66 | 31 |
Gain (Loss) on Derivatives | 134 | (85) | 250 | (99) |
Loss on Early Extinguishment of Debt | (10) | (11) | ||
Other Income (Loss), Net | 6 | 8 | (3) | |
Income (Loss) Before Income Taxes | 284 | (594) | 635 | (1,725) |
Benefit for Income Taxes: | ||||
Deferred | (1) | |||
Net Income (Loss) | 284 | (593) | 635 | (1,725) |
Mandatory convertible preferred stock dividend | 27 | 27 | 54 | 54 |
Participating securities - mandatory convertible preferred stock | 33 | 76 | ||
Net Income (Loss) Attributable to Common Stock | $ 224 | $ (620) | $ 505 | $ (1,779) |
Earnings (Loss) Per Common Share: | ||||
Basic | $ 0.45 | $ (1.61) | $ 1.02 | $ (4.63) |
Diluted | $ 0.45 | $ (1.61) | $ 1.02 | $ (4.63) |
Weighted Average Common Shares Outstanding: | ||||
Basic | 496,419,815 | 385,594,815 | 494,753,391 | 384,232,831 |
Diluted | 498,224,599 | 385,594,815 | 496,627,843 | 384,232,831 |
CONDENSED CONSOLIDATED STATEME3
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | ||
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) [Abstract] | |||||
Net income (loss) | $ 284 | $ (593) | $ 635 | $ (1,725) | |
Change in value of pension and other postretirement liabilities: | |||||
Amortization of prior service cost and net loss included in net periodic pension cost | [1] | 1 | (1) | 1 | |
Net gain incurred in period | [1] | 4 | 4 | ||
Change in currency translation adjustment | 3 | ||||
Comprehensive income (loss) | $ 285 | $ (590) | $ 636 | $ (1,718) | |
[1] | Net of tax for the three and six months ended June 30, 2017 and 2016. |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Jun. 30, 2017 | Dec. 31, 2016 |
Current assets: | ||
Cash and cash equivalents | $ 1,111 | $ 1,423 |
Accounts receivable, net | 351 | 363 |
Derivative assets | 83 | 51 |
Other current assets | 34 | 35 |
Total current assets | 1,579 | 1,872 |
Natural gas and oil properties, using the full cost method, including $2,034 million as of June 30, 2017 and $2,105 million as of December 31, 2016 excluded from amortization | 23,248 | 22,653 |
Gathering systems | 1,307 | 1,299 |
Other | 553 | 537 |
Less: Accumulated depreciation, depletion and amortization | (19,767) | (19,534) |
Total property and equipment, net | 5,341 | 4,955 |
Other long-term assets | 230 | 249 |
TOTAL ASSETS | 7,150 | 7,076 |
Current liabilities: | ||
Short-term debt | 40 | 41 |
Accounts payable | 473 | 473 |
Taxes payable | 64 | 59 |
Interest payable | 67 | 74 |
Dividends payable | 27 | 27 |
Derivative liabilities | 127 | 355 |
Other current liabilities | 23 | 35 |
Total current liabilities | 821 | 1,064 |
Long-term debt | 4,341 | 4,612 |
Pension and other postretirement liabilities | 46 | 49 |
Other long-term liabilities | 369 | 434 |
Total long-term liabilities | 4,756 | 5,095 |
Commitments and contingencies (Note 10) | ||
Equity: | ||
Common stock, $0.01 par value; 1,250,000,000 shares authorized; issued 505,893,345 shares as of June 30, 2017 (does not include 3,346,738 shares issued on July 17, 2017 on account of a dividend declared on June 21, 2017) and 495,248,369 as of December 31, 2016 | 5 | 5 |
Preferred stock, $0.01 par value, 10,000,000 shares authorized, 6.25% Series B Mandatory Convertible, $1,000 per share liquidation preference, 1,725,000 shares issued and outstanding as of June 30, 2017 and December 31, 2016, conversion in January 2018 | ||
Additional paid-in capital | 4,697 | 4,677 |
Accumulated deficit | (3,090) | (3,725) |
Accumulated other comprehensive loss | (38) | (39) |
Common stock in treasury, 31,269 shares as of June 30, 2017 and December 31, 2016 | (1) | (1) |
Total equity | 1,573 | 917 |
TOTAL LIABILITIES AND EQUITY | $ 7,150 | $ 7,076 |
CONDENSED CONSOLIDATED BALANCE5
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2017 | Dec. 31, 2016 | |
Natural gas and oil properties, using the full cost method, costs excluded from amortization | $ 2,034 | $ 2,105 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 1,250,000,000 | 1,250,000,000 |
Common stock, shares issued | 505,893,345 | 495,248,369 |
Common stock, date dividend to be paid | Jul. 17, 2017 | |
Common stock, date dividend declared | Jun. 21, 2017 | |
Treasury stock, shares | 31,269 | 31,269 |
Series B Preferred Stock [Member] | ||
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, dividend rate | 6.25% | 6.25% |
Liquidation preference per share | $ 1,000 | $ 1,000 |
Preferred stock, shares issued | 1,725,000 | 1,725,000 |
Preferred stock, shares outstanding | 1,725,000 | 1,725,000 |
CONDENSED CONSOLIDATED STATEME6
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Cash Flows From Operating Activities: | ||
Net income (loss) | $ 635 | $ (1,725) |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Depreciation, depletion and amortization | 229 | 250 |
Impairment of natural gas and oil properties | 1,504 | |
Amortization of debt issuance costs | 4 | 4 |
(Gain) loss on derivatives, unsettled | (319) | 129 |
Stock-based compensation | 12 | 17 |
Restructuring charges | 29 | |
Loss on early extinguishment of debt | 11 | |
Other | (4) | 7 |
Change in assets and liabilities: | ||
Accounts receivable | 12 | 92 |
Accounts payable | 2 | (139) |
Taxes payable | 5 | (3) |
Interest payable | (4) | |
Other assets and liabilities | (5) | |
Net cash provided by operating activities | 578 | 165 |
Cash Flows From Investing Activities: | ||
Capital investments | (619) | (241) |
Proceeds from sale of property and equipment | 12 | 54 |
Other | 1 | 1 |
Net cash used in investing activities | (606) | (186) |
Cash Flows From Financing Activities: | ||
Payments on short-term debt | (287) | (1) |
Payments on revolving credit facility | (3,268) | |
Borrowings under revolving credit facility | 3,152 | |
Payments on commercial paper | (242) | |
Borrowings under commercial paper | 242 | |
Change in bank drafts outstanding | 3 | (21) |
Proceeds from issuance of long-term debt | 1,191 | |
Debt issuance costs | (16) | |
Preferred stock dividend | (27) | |
Other | (6) | |
Net cash provided by (used in) financing activities | (284) | 1,004 |
Increase (decrease) in cash and cash equivalents | (312) | 983 |
Cash and cash equivalents at beginning of year | 1,423 | 15 |
Cash and cash equivalents at end of period | $ 1,111 | $ 998 |
CONDENSED CONSOLIDATED STATEME7
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY - 6 months ended Jun. 30, 2017 - USD ($) $ in Millions | Common Stock [Member] | Preferred Stock [Member] | Additional Paid-In Capital [Member] | Accumulated Deficit [Member] | [1] | Accumulated Other Comprehensive Income (Loss) [Member] | Common Stock in Treasury [Member] | Total | |
Balance, shares at Dec. 31, 2016 | 495,248,369 | 1,725,000 | |||||||
Balance at Dec. 31, 2016 | $ 5 | $ 4,677 | $ (3,725) | $ (39) | $ (1) | $ 917 | |||
Comprehensive income: | |||||||||
Net income | 635 | 635 | |||||||
Other comprehensive income | 1 | 1 | |||||||
Comprehensive income (loss) | 636 | ||||||||
Stock-based compensation | 20 | 20 | |||||||
Preferred stock dividend, shares | [2] | 6,098,275 | |||||||
Issuance of restricted stock, shares | 4,902,925 | ||||||||
Cancellation of restricted stock, shares | (416,320) | ||||||||
Performance units vested, shares | 121,208 | ||||||||
Tax withholding - stock compensation, shares | (61,184) | ||||||||
Issuance of stock awards, shares | 72 | ||||||||
Balance, shares at Jun. 30, 2017 | 505,893,345 | 1,725,000 | |||||||
Balance at Jun. 30, 2017 | $ 5 | $ 4,697 | $ (3,090) | $ (38) | $ (1) | $ 1,573 | |||
[1] | Includes a net cumulative-effect adjustment of $59 million related to the recognition of previously unrecognized windfall tax benefits resulting from the adoption of ASU 2016-09 as of the beginning of 2017. This adjustment was offset by an increase in net deferred tax assets and the related income tax valuation allowance of the same amount. | ||||||||
[2] | Does not include 3,346,738 shares issued on July 17, 2017 and distributed to holders of the Company's mandatory convertible preferred stock. |
CONDENSED CONSOLIDATED STATEME8
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (Parenthetical) - USD ($) $ in Millions | Jul. 17, 2017 | Jun. 30, 2017 |
Net cumulative-effect adjustment | $ 59 | |
Common stock, date dividend to be paid | Jul. 17, 2017 | |
Subsequent Event [Member] | ||
Common stock, shares issued as stock dividend | 3,346,738 |
Basis Of Presentation
Basis Of Presentation | 6 Months Ended |
Jun. 30, 2017 | |
Basis Of Presentation [Abstract] | |
Basis Of Presentation | (1) BASIS OF PRESEN TATION Southwestern Energy Company (including its subsidiaries, collectively “Southwestern” or the “Company”) is an independent energy company engaged in natural gas , oil and NGL exploration, development and production (“E&P”). The Company is also focused on creating and capturing additional value through its natural gas gathering and marketing businesses (“Midstream Services”). Southwestern conducts most of its businesses through subsidiaries and operates principally in two segments: E&P and Midstream Services. Exploration and Production. Southwestern’s primary business is the exploration for and production of natural gas, oil and NGLs, with current operations principally focused on the development of unconventional natural gas reservoirs located in Pennsylvania, West Virginia and Arkansas. The Company’s operations in northeast Pennsylvania, herein referred to as “Northeast Appalachia,” are primarily focused on the unconventional natural gas reservoir known as the Marcellus Shale. Operations in West Virginia and southwest Pennsylvania, herein referred to as “Southwest Appalachia,” are focused on the Marcellus Shale, the Utica and the Upper Devonian unconventional natural gas and oil reservoirs. Collectively, Southwestern refers to its properties located in Pennsylvania and West Virginia as the “Appalachian Basin.” The Company’s operations in Arkansas are primarily focused on an unconventional natural gas reservoir known as the Fayetteville Shale. Southwestern has activities ongoing in Colorado and Louisiana, along with other areas in which it is currently assessing new development opportunities. The Company also has drilling rigs located in Pennsylvania, West Virginia and Arkansas, as well as in other operating areas, and provides oilfield products and services, principally serving its E&P operations. Midstream Services . Through the Company’s affiliated midstream subsidiaries, Southwestern engage s in natural gas gathering activities in Arkansas and Louisiana. These activities primarily support the Company’s E&P operations and generate revenue from fees associated with the gathering of natural gas. Southwestern’s marketing activities capture opportunities that arise through the marketing and transportation of the natural gas, oil and NGLs produced in its E&P operations. The accompanying unaudited condensed consolidated financial statements were prepared using accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and in accordance with the rules and regulations of the Securities and Exchange Commission. Certain information relating to the Company’s organization and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been appropriately condensed or omitted in this Quarterly Report. The Company believes the disclosures made are adequate to make the information presented not misleading. The unaudited condensed consolidated financial statements contained in this report include all normal and recurring material adjustments that, in the opinion of management, are necessary for a fair statement of the financial position, results of operations and cash flows for the interim periods presented herein. It is recommended that these unaudited condensed consolidated financial statements be read in conjunction with the consolidated financial statements and the notes thereto included in the Company’s Annual Report for the year ended December 31, 201 6 (“2016 Annual Report”). The Company’s significant accounting policies, which have been reviewed and approved by the Audit Committee of the Company’s Board of Directors, are summarized in Note 1 in the Notes to the Consolidated Financial Statement s included in the Company’s 2016 Annual Report. |
Cash And Cash Equivalents
Cash And Cash Equivalents | 6 Months Ended |
Jun. 30, 2017 | |
Cash And Cash Equivalents [Abstract] | |
Cash And Cash Equivalents | (2) CASH AND CASH EQUIVALENTS The following table presents a summary of c ash and cash equivalents as of June 30, 2017 and December 31, 2016 : June 30 , December 31, 201 7 201 6 (in millions) Cash $ 263 $ 254 Marketable securities (1) 798 1,169 Other cash equivalents (2) 50 − Total cash and cash equivalents $ 1,111 $ 1,423 (1) Consists of government stable value money market funds. (2) Consists of time deposits. |
Reduction In Workforce
Reduction In Workforce | 6 Months Ended |
Jun. 30, 2017 | |
Reduction In Workforce [Abstract] | |
Reduction In Workforce | (3) REDUC TION IN WORKFORCE In January 2016, the Company announced a 40% workforce reduction as a result of lower anticipated drilling activity. This reduction was substantially complete d in the first quarter of 2016 . In April 2016, the Company also partially restructured executive management, which was substantially completed in the second quarter of 2016. The following table presents a summary of the restructuring charges for the three and six months ended June 30, 2016 : For the three months ended For the six months ended June 30, 2016 June 30, 2016 (in millions) Severance (including payroll taxes) (1) $ 2 $ 44 Stock-based compensation (2) 6 24 Pension and other postretirement benefits (3) 3 3 Other benefits − 3 Outplacement services, other − 1 Total restructuring charges (4) $ 11 $ 75 (1) Includes $1 million related to executive management restructuring for the three and six months ended June 30, 2016. (2) Includes $3 million related to executive management restructuring for the three and six months ended June 30, 2016. (3) Includes non-cash charges related to the curtailment and settlement of the pension and other postretirement benefit plans. See Note 11 for additional details regarding the Company’s retirement and employee benefit plans. (4) Total restructuring charges were $11 million and less than $1 million for the Company’s E&P and Midstream Services segments, respectively, for the three months ended June 30, 2016 . For the six months ended June 30, 2016, restructuring charges were $72 million and $3 million for the Company’s E&P and Midstream Services segments, respectively. Severance payments and other separation costs related to restructuring were substantially completed by the end of 2016. |
Natural Gas And Oil Properties
Natural Gas And Oil Properties | 6 Months Ended |
Jun. 30, 2017 | |
Natural Gas And Oil Properties [Abstract] | |
Natural Gas And Oil Properties | ( 4 ) NATURAL GA S AND OIL PROPERTIES The Company utilizes the full cost method of accounting for costs related to the exploration, development an d 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 a re 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 are subject to a ceiling test that limits such pooled costs , net of applicable deferred taxes, to the aggregate of the present value of future net revenues attributable to proved natural gas , oil and NGL reserves discounted at 10 % (standardized measure) . 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, oil and NGL prices may subsequently increase the ceiling. Companies using the full cost method are required to use the average quoted price from the first day of each month from the previous 12 months, incl uding the impact of derivatives designated for hedge accounting , 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 o f $ 3.01 per MMBtu, West Texas Intermediate oil of $ 45.42 per barrel and NGLs of $ 10.90 p er barrel , adjusted for 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 June 30 , 201 7 . The Company ha d no h edge positions that were designated for hedge account ing as of June 30 , 201 7 . 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. Using the average quoted price from the first day of each month from the previous 12 months for Henry Hub natural gas of $ 2.24 per MMBtu, West Texas Intermediate oil of $ 39.63 per barrel and NGLs of $5.87 per barrel , adjusted for differentials, the net book value of the Company’s United States natura l gas and oil properties result ed in a non-cash ceiling test impairment of $470 million for the three months ended June 30, 2016 . In the first quarter of 2016, the Company recognized a non-cash ceiling test impairment of $1,034 million. The Company had no hedge positions that were designated for hedge accounting as of June 30, 2016. |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Jun. 30, 2017 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | ( 5 ) EARN INGS PER SHARE Basic earnings per common share is computed by dividing net income (loss) attributable to common stock by the weighted average number of common shares outstanding during the reportable period. 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, the vesting of unvested restricted shares of common stock , performance units and the assumed conversion of mandatory convertible preferred stock . An antidilutive impact is an increase in earnings per share or a reduction in net loss per share resulting from the conversion, exercise, or contingent issuance of certain securities. In July 2016, the Company completed an underwritten public offering of 98,900,000 shares of its common stock, with an offering price to the public of $13.00 per share. Net proceeds from the common stock offering were approximately $1,247 million, after underwriting discount and offering expenses. The proceeds from the offering were used to repay $375 million of the $750 million term loan entered into in November 2015 and to settle certain tender offers by purchasing an aggregate principal amount of approximately $700 million of the Company’s outstanding senior notes due in the first quarter of 2018. The remaining proceeds of the offering have been used for general corporate purposes. The depositary shares issued in January 2015 entitles the holder to a proportional fractional interest in the rights and preferences of the convertible preferred stock, including conversion, dividend, liquidation and voting rights. Unless converted earlier at the option of the holders, on or around January 15, 2018 each share of convertible preferred stock will automatically convert into between 37.0028 and 43.4782 shares of the Company’s common stock ( correspondingly, each depositary share will convert into between 1.85014 and 2.17391 shares of the Company’s common stock), subject to customary anti-dilution adjustments, depending on the volume-weighted average price of the Company’s common stock over a 20 trading day averaging period immediately prior to that date. The total potential shares of common stock resulting from the conversion will range from 63,829,830 to 74,999,895 shares. The mandatory convertible preferred stock has the non-forfeitable right to participate on an as - converted basis at the conversion rate then in effect in any common stock dividends declared and as such, is considered a participating security. A ccordingly , it is included in the computation of basic and diluted earnings per share, pursuant to the two-class method. In the calculation of basic earnings per share attributable to common shareholders, participating securities are allocated earnings based on actual dividend distributions received plus a proportionate share of undistributed net income attributable to common shareholders, if any, after recognizing distributed earnings. The Company’s participating securities do not participate in undistributed net losses because they are not contractually obligated to do so. On June 21, 2017 , the Company declared its quarterly dividend, payable to holders of the mandatory convertible preferred stock, and announced that it would pay the quarterly dividend in stock, in lieu of cash, to the extent permitted by the certificate of designations for the Series B preferred stock. The Company issued 3,346,738 shares of common stock on July 17, 2017 in payment for the dividend. The following table presents the computation of earnings per share for the three and six months ended June 30, 2017 and 2016: For the three months ended For the six months ended June 30, June 30, 2017 2016 2017 2016 (in millions, except share/per share amounts) Net income (loss) $ 284 $ (593) $ 635 $ (1,725) Mandatory convertible preferred stock dividend 27 27 54 54 Participating securities - mandatory convertible preferred stock 33 – 76 – Net income (loss) attributable to common stock $ 224 $ (620) $ 505 $ (1,779) Number of common shares: Weighted average outstanding 496,419,815 385,594,815 494,753,391 384,232,831 Issued upon assumed exercise of outstanding stock options – – 3,317 – Effect of issuance of non-vested restricted common stock 761,311 – 707,576 – Effect of issuance of non-vested performance units 1,043,473 – 1,163,559 – Effect of issuance of mandatory convertible preferred stock – – – – Weighted average and potential dilutive outstanding 498,224,599 385,594,815 496,627,843 384,232,831 Earnings (l oss) per common share: Basic $ 0.45 $ (1.61) $ 1.02 $ (4.63) Diluted $ 0.45 $ (1.61) $ 1.02 $ (4.63) The following table presents the common stock shares equivalent excluded from the calculation of diluted earnings per share for the three and six months ended June 30, 2017 and 2016, as they would have had an antidilutive effect: For the three months ended For the six months ended June 30, June 30, 2017 2016 2017 2016 Unvested stock options − 4,028,819 1,344,942 4,781,109 Unvested share-based payment 6,106,322 3,353,371 3,504,222 2,844,365 Performance units 1,268,040 780,920 980,836 577,624 Mandatory convertible preferred stock 74,999,895 74,999,895 74,999,895 74,999,895 Total 82,374,257 83,163,005 80,829,895 83,202,993 |
Derivatives And Risk Management
Derivatives And Risk Management | 6 Months Ended |
Jun. 30, 2017 | |
Derivatives And Risk Management [Abstract] | |
Derivatives And Risk Management | (6 ) DERIVATIVES A ND RISK MANAGEMENT The Company is exposed to volatility in market prices and basis di fferentials for natural gas, oil and NGLs which impacts the predictability of its cash flows related to the sale of those commodities. These risks are managed by the Company’s use of certain derivativ e financial instruments. As of June 3 0, 2017 and December 31, 2016 , the Company’s derivative financial instruments consisted of fixed price swaps, two-way costless collars, three-way costless collars, basis swaps, put and 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. Purchased put options The Company purchases put options based on an index price from the counterparty by payment of a cash premium. If the index price is lower than the put’s strike price at the time of settlement, the Company receives from the counterparty such difference between the index price and the purchased put strike price. If the market price settles above the put’s strike price, no payment is due from either party. Two-way costless collars Arrangements that contain a fixed floor price (purchased put option) and a fixed ceiling price (sold call option) based on an index price which, in aggregate, have no net cost. At the contract settlement date, (1) if the index price is higher than the ceiling price, the Company pays the counterparty the difference between the index price and ceiling price, (2) if the index price is between the floor and ceiling prices, no payments are due from either party, and (3) if the index price is below the floor price, the Company will receive the difference between the floor price and the index price. Three-way costless collars Arrangements that contain a purchased put option, a sold call option and a sold put option based on an index price which, in aggregate, have no net cost. At the contract settlement date, (1) if the index price is higher than the sold call strike price, the Company pays the counterparty the difference between the index price and sold call strike price, (2) if the index price is between the purchased put strike price and the sold call strike price, no payments are due from either party, (3) if the index price is between the sold put strike price and the purchased put strike price, the Company will receive the difference between the purchased put strike price and the index price, and (4) if the index price is below the sold put strike price, the Company will receive the difference between the purchased put strike price and the sold put strike 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. Sold call options The Company sells call options in exchange for a premium. I f the market price exceeds the strike price of the call option a t the time of settlement, the Company pays the counterparty such excess on sold call options. If the market price settles below the call’s strike price , 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 un favorable interest rate changes. The Company utilizes counterparties for its derivative instruments that it believes are creditworthy 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 following table provides information about the Company’s financial instruments that are sensitive to changes in commodity prices and that are used to protect the Company’s exposure. None of the financial instruments below are designated for hedge accounting treatment. The table presents the notional amount in Bcf, the weighted average contract prices and the fair value by expected maturity dates as of June 30, 2017: Weighted Average Price per MMBtu Volume (Bcf) Swaps Sold Puts Purchased Puts Sold Calls Basis Differential Fair Value at June 30, 2017 (in millions) Financial protection on production 2017 Fixed price swaps 168 $ 3.07 $ – $ – $ – $ – $ (2) Two-way costless-collars 48 – – 2.93 3.35 – – Three-way costless-collars 68 – 2.29 2.97 3.30 – – Total 284 $ (2) 2018 Fixed price swaps 94 $ 3.00 $ – $ – $ – $ – $ 1 Two-way costless-collars 23 – – 2.97 3.56 – (2) Three-way costless-collars 272 – 2.40 2.97 3.37 – 9 Total 389 $ 8 2019 Three-way costless-collars 108 $ – $ 2.50 $ 2.95 $ 3.32 $ – $ (2) Total 108 $ (2) Basis Swaps 2017 86 $ – $ – $ – $ – $ (1.03) $ (13) 2018 20 – – – – (0.95) (15) Total 106 $ (28) Weighted Average Price per MMBtu Volume (Bcf) Sold Calls Fair Value at June 30, 2017 (in millions) Call options 2017 43 $ 3.68 $ (2) (1) 2018 63 3.50 (11) 2019 52 3.50 (10) 2020 32 3.75 (5) Total 190 $ (28) (1) Excludes $5 million in premiums paid related to certain call options recognized as a component of derivative assets within current assets on the unaudited condensed consolidated balance sheet. As certain call options settle, the premium will be amortized and recognized as a component of gain (loss) on derivatives on the unaudited condensed consolidated statement s of operations. The balance sheet classification of the assets and liabilities related to derivative financial instruments (none of which are designated for hedge accounting treatment) are summarized below as of June 30, 2017 a nd December 31, 2016 : Derivative Assets Balance Sheet Classification Fair Value June 30, 2017 December 31, 2016 (in millions) Derivatives not designated as hedging instruments: Fixed price swaps Derivative assets $ 10 $ – Two-way costless collars Derivative assets 11 8 Three-way costless collars Derivative assets 45 11 Basis swaps Derivative assets 7 32 Call options Derivative assets 5 – Fixed price swaps Other long-term assets 5 1 Two-way costless collars Other long-term assets – 2 Three-way costless collars Other long-term assets 100 100 Basis swaps Other long-term assets – 1 Total derivative assets $ 183 ( 1 ) $ 155 Derivative Liabilities Balance Sheet Classification Fair Value June 30, 2017 December 31, 2016 (in millions) Derivatives not designated as hedging instruments: Fixed price swaps Derivative liabilities $ 15 $ 175 Two-way costless collars Derivative liabilities 14 49 Three-way costless collars Derivative liabilities 48 70 Basis swaps Derivative liabilities 35 13 Call options Derivative liabilities 14 46 Interest rate swaps Derivative liabilities 1 2 Fixed price swaps Other long-term liabilities – 3 Two-way costless collars Other long-term liabilities – 9 Three-way costless collars Other long-term liabilities 90 122 Basis swaps Other long-term liabilities – 5 Call options Other long-term liabilities 19 35 Interest rate swaps Other long-term liabilities 1 1 Total derivative liabilities $ 237 $ 530 (1) Excludes $5 million in premiums paid related to certain call options currently recognized as a component of derivative assets within current assets on the unaudited condensed consolidated balance sheet. As certain call options settle, the premium will be amortized and recognized as a component of gain (loss) on derivatives on the unaudited condensed consolidated statement s of operations. At June 30, 2017, the net fair value of the Company’s financial instruments related to natural gas was a $52 million liability. The net fair value of the Company’s interest rate swaps was a $2 million liability as of June 30, 2017. The Company had ethane fixed price swaps with an immaterial fair value as of June 30, 2017. Derivative Contracts Not Designated for Hedge Accounting As of June 30 , 201 7 , the Company had no positions designated for hedge accounting treatment . G ains and losses on derivatives that are not designated for hedge accounting treatment , or that do not meet hedge accounting requirements , are recorded as a component of gain (loss) on derivatives on the unaudited condensed consolidated statements of operations. Accordingly, the gain (loss) on derivatives component of the statement s of operations reflects the gains and losses on both settled and unsettled derivatives. The Company calculates gains and losses on settled derivatives as the summation of gains and losses on positions which have settled within the reporting period. Only the settled gains and losses are included in the Company’s realized commodity price calculations. The Company is a party to interest rate swaps that were entered into to mitigate the Company’s exposure to volatility in interest rates. The interest rate swaps have a notional amount of $170 million and expire in June 2020 . The Company did not designate the interest rate swaps for hedge accounting treatment . Changes in the fair value of the interest rate swaps are included in gain (loss) on derivatives o n the unaudited condensed consolidated statements of operations. The follow ing tables summarize the before- tax effect of fixed price swaps, purchased put options, two-way costless collars, three-way costless collars, basis swaps, call options and interest rate swaps not designated for hedge accounting on the unaudited condensed consolidated statements of operations for the three and six months ended June 30 , 201 7 and 201 6 : Gain (Loss) on Derivatives, Unsettled Recognized in Earnings Consolidated Statements of Operations For the three months ended For the six months ended Classification of Gain (Loss) June 30, June 30, Derivative Instrument on Derivatives, Unsettled 2017 2016 2017 2016 (in millions) Fixed price swaps (1) Gain (Loss) on Derivatives $ 58 $ (60) $ 176 $ (40) Purchased put options Gain (Loss) on Derivatives – (15) – – Two-way costless collars Gain (Loss) on Derivatives 14 (5) 45 (5) Three-way costless collars Gain (Loss) on Derivatives 31 (2) 88 (2) Basis swaps Gain (Loss) on Derivatives 60 (1) (43) (4) Call options Gain (Loss) on Derivatives 11 (25) 53 (75) Interest rate swaps Gain (Loss) on Derivatives (1) – – (3) Total gain (loss) on unsettled derivatives $ 173 $ (108) $ 319 $ (129) Gain (Loss) on Derivatives, Settled (2) Recognized in Earnings Consolidated Statements of Operations For the three months ended For the six months ended Classification of Gain (Loss) June 30, June 30, Derivative Instrument on Derivatives, Settled 2017 2016 2017 2016 (in millions) Fixed price swaps (1) Gain (Loss) on Derivatives $ (9) $ 12 $ (25) $ 16 Purchased put options Gain (Loss) on Derivatives − 11 – 11 Two-way costless collars Gain (Loss) on Derivatives – − (3) − Three-way costless collars Gain (Loss) on Derivatives (1) − (5) − Basis swaps Gain (Loss) on Derivatives (29) − (30) 4 Call options Gain (Loss) on Derivatives – − (6) − Interest rate swaps Gain (Loss) on Derivatives – − – (1) Total gain (loss) on settled derivatives (3) $ (39) $ 23 $ (69) $ 30 Total gain (loss) on derivatives $ 134 $ (85) $ 250 $ (99) (1) Includes the Company’s fixed price swaps on natural gas and ethane. As of June 30, 2017, the amount of unsettled and settled fixed price swaps related to ethane was immaterial. (2) The Company calculates gain (loss) on derivatives, settled, as the summation of gains and losses on positions that have settled within the period. (3) Excluding interest rate swaps and settled ethane fixed price swaps , these amounts are included, along with gas sales revenues, in the calculation of the Company’s realized natural gas price. Settled ethane fixed price swaps are included, along with NGL sales revenues, in the calculation of the Company’s realized NGL price. Derivative Contracts Designated for Hedge Accounting A ll derivatives are recognized in the balance sheet as either an asset or liability and are measured at fair value , other than transactions for which normal purchase/normal sale is applied. Certain criteria must be satisfied in order for derivative financial instruments to be designated for hedge accounting . Unrealized gains and losses related to unsettled derivatives that have been designated for hedge accounting treatment are recorded in either earnings or as a component of other comprehensive income until settled. In the period of settlement, the Company recognizes the gains and losses from these qualifying hedges in gas sales revenues. As of June 30, 2017 and 2016 , the Company had no positions designated for hedge accounting treatment . |
Reclassifications From Accumula
Reclassifications From Accumulated Other Comprehensive Income (Loss) | 6 Months Ended |
Jun. 30, 2017 | |
Reclassifications From Accumulated Other Comprehensive Income (Loss) [Abstract] | |
Reclassifications From Accumulated Other Comprehensive Income (Loss) | (7 ) RECL ASSIFICATIONS FROM ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) The following tables detail the components of accumulated other comprehensive income (loss) and the related tax effects for the six months ended June 30 , 201 7 : Pension and Other Postretirement Foreign Currency Total (in millions) Beginning balance, December 31, 2016 $ (19) $ (20) $ (39) Other comprehensive income before reclassifications – – – Amounts reclassified from other comprehensive income (1) 1 – 1 Net current-period other comprehensive income 1 – 1 Ending balance, June 30, 2017 $ (18) $ (20) $ (38) (1 ) See separate table below for details about these reclassifications . 1 Details about Accumulated Other Comprehensive Income Affected Line Item in the Consolidated Statement of Operations Amount Reclassified from Accumulated Other Comprehensive Income For the six months ended June 30, 2017 (in millions) Pension and other postretirement: Amortization of prior service cost and net loss (1) General and administrative expenses $ 1 Provision for income taxes – Net income (loss) $ 1 Total reclassifications for the period Net income (loss) $ 1 (1 ) See Note 11 for additional details regarding the Company’s retirement and employee benefit plans. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2017 | |
Fair Value Measurements [Abstract] | |
Fair Value Measurements | ( 8 ) FAIR VALU E MEASUREMENTS The carrying amounts and estimated fair values of the Company’s financial instruments as of June 30 , 201 7 and December 31, 201 6 were as follows: June 30, 2017 December 31, 2016 Carrying Fair Carrying Fair Amount Value Amount Value (in millions) Cash and cash equivalents $ 1,111 $ 1,111 $ 1,423 $ 1,423 Term loan facility due December 2020 (1) 327 327 327 327 Term loan facility due December 2020 (1) 1,191 1,191 1,191 1,191 Senior notes 2,890 2,821 3,166 3,182 Derivative instruments, net (2) (54) (54) (375) (375) (1) The maturity date will accelerate to October 2019 if, by that date, the Company has not amended, redeemed or refinanced at least $765 million of its senior notes due in January 2020 . (2) Excludes $5 million in premiums paid related to certain call options currently recognized as a component of derivative assets within current assets on the unaudited condensed consolidated balance sheet. The carrying values of cash and cash equivalents, accounts receivable, other current assets , accounts payable and other current liabilities on the unaudited condensed consolidated balance sheets approxim ate 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 value of the Company’s publicly traded debt as determined based on the yield of the Company’s senior notes. The carrying values of the borrowings under the Company’s term loan facilities and unsecured revolving 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. The fair value hierarchy 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 ca lculation 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 fixed price swaps (Level 2) are estimated using third-party discounted cash flow calculations using the NYMEX futures index. The Company utilized discounted cash flow models for valuing its interest rate derivatives (Level 2). The net derivative val ues attributable to the Company’ s interest rate derivative contracts as of June 30, 2017 are based on (i) the contracted notional amounts, (ii) active market-quoted London Interbank Offered Rate (“LIBOR”) yield curves and (iii) the applicable credit-adjusted risk-free rate yield curve. The Company’s call options, purchased put options, two-way costless collars and three-way costless collars (Level 3) are valued using the Black-Scholes model, an industry standard option valuation model that 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 (Level 3) are estimated using third-party 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 the 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 millions): June 30, 2017 Fair Value Measurements Using: Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets (Liabilities) at Fair Value Fixed price swap assets $ – $ 15 $ – $ 15 Two-way costless collars assets – – 11 11 Three-way costless collars assets – – 145 145 Basis swap assets – – 7 7 Call option assets (1) – – 5 5 Fixed price swap liabilities – (15) – (15) Two-way costless collars liabilities – – (14) (14) Three-way costless collars liabilities – – (138) (138) Basis swap liabilities – – (35) (35) Call option liabilities – – (33) (33) Interest rate swap liabilities – (2) – (2) Total $ – $ (2) $ (52) $ (54) (1) Excludes $5 million in premiums paid related to certain call options currently recognized as a component of derivative assets within current assets on the unaudited condensed consolidated balance sheet. December 31, 2016 Fair Value Measurements Using: Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets (Liabilities) at Fair Value Fixed price swap assets $ – $ 1 $ – $ 1 Two-way costless collars assets – – 10 10 Three-way costless collars assets – – 111 111 Basis swap assets – – 33 33 Fixed price swap liabilities – (178) – (178) Two-way costless collars liabilities – – (58) (58) Three-way costless collars liabilities – – (192) (192) Basis swap liabilities – – (18) (18) Call option liabilities – – (81) (81) Interest rate swap liabilities – (3) – (3) Total $ – $ (180) $ (195) $ (375) 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 unobse rvable inputs (Level 3) for the three and six months ended June 30 , 201 7 and 201 6 . 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 partic ipant would have used as of June 30 , 201 7 and 201 6 . For the three months ended For the six months ended June 30, June 30, 2017 2016 2017 2016 (in millions) (in millions) Balance at beginning of period $ (168) $ (35) $ (195) $ 3 Total gains (losses): Included in earnings 86 (37) 99 (71) Settlements 30 (11) 44 (15) Transfers into/out of Level 3 – – – – Balance at end of period $ (52) $ (83) $ (52) $ (83) Change in gains (losses) included in earnings relating to derivatives still held as of June 30 $ 116 $ (48) $ 143 $ (86) |
Debt
Debt | 6 Months Ended |
Jun. 30, 2017 | |
Debt [Abstract] | |
Debt | (9) D EBT The components of debt as of June 30, 2017 and December 31, 2016 consisted of the following: June 30, 2017 Debt Instrument Unamortized Issuance Expense Unamortized Debt Discount Total (in millions) Short-term debt: 7.35% Senior Notes due October 2017 $ 15 $ – $ – $ 15 7.125% Senior Notes due October 2017 25 – – 25 Total short-term debt $ 40 $ – $ – $ 40 Long-term debt: Variable rate ( 3.690% at June 30, 2017) term loan facility, due December 2020 (3) 327 (2) – 325 Variable rate ( 3.690% at June 30, 2017) term loan facility, due December 2020 (3) 1,191 (9) – 1,182 4.05% Senior Notes due January 2020 (1) 850 (3) – 847 4.10% Senior Notes due March 2022 1,000 (4) (1) 995 4.95% Senior Notes due January 2025 (1) 1,000 (6) (2) 992 Total long-term debt $ 4,368 $ (24) $ (3) $ 4,341 Total debt $ 4,408 $ (24) $ (3) $ 4,381 December 31, 2016 Debt Instrument Unamortized Issuance Expense Unamortized Debt Discount Total (in millions) Short-term debt: 7.35% Senior Notes due October 2017 $ 15 $ – $ – $ 15 7.125% Senior Notes due October 2017 25 – – 25 7.15% Senior Notes due June 2018 1 – – 1 Total short-term debt $ 41 $ – $ – $ 41 Long-term debt: Variable rate ( 3.220% at December 31, 2016) term loan facility, due December 2020 (3) 327 (2) – 325 Variable rate ( 3.220% at December 31, 2016) term loan facility, due December 2020 (3) 1,191 (10) – 1,181 3.30% Senior Notes due January 2018 (1) (2) 38 – – 38 7.5 0% Senior Notes due February 2018 (2) 212 – – 212 7.15% Senior Notes due June 2018 (2) 25 – – 25 4.05% Senior Notes due January 2020 (1) 850 (5) – 845 4.10% Senior Notes due March 2022 1,000 (4) (1) 995 4.95% Senior Notes due January 2025 (1) 1,000 (7) (2) 991 Total long-term debt $ 4,643 $ (28) $ (3) $ 4,612 Total debt $ 4,684 $ (28) $ (3) $ 4,653 (1) In February and June 2016, Moody’s and S&P downgraded certain senior notes, increasing the interest rates by 175 basis points effective July 2016. As a result of the downgrades, interest rates increased to 5.05% for the 2018 Notes, 5.80% for the 2020 Notes and 6.70% for the 2025 Notes. (2) In March 2017, the Company repurchased $25 million of its 7.50% Senior Notes due February 2018 and recognized a $1 million loss on the extinguishment of debt. In May 2017, the Company re deem ed all (i) $187 million principal amount of its outstanding 7.50% Senior Notes due February 2018, (ii) $38 million principal amount of its outstanding 3.30% Senior Notes due January 2018 and (iii) $26 million principal amount of its outstanding 7.15% Senior Notes due June 2018 and recognized a $10 million loss on the extinguishment of debt. (3) The maturity date will accelerate to October 2019 if, by that date, the Company has not amended, redeemed or refinanced at least $765 million of its senior notes due in January 2020 . 2016 Credit Facility In June 2016, the Company reduced its existing $2.0 billion unsecured revolving credit facility to $66 million and entered into a new credit agreement for $1,934 million, consisting of a $1,191 million secured term loan and a new $743 million unsecured revolving credit facility, which matures in December 2020 . The maturity date will accelerate to October 2019 if, by that date, the Company has not amended, redeemed or refinanced at least $765 million of its senior notes due January 2020. The $1,191 million secured term loan is fully drawn, with approximately $285 million of this balance used to pay down the previous revolving credit facility balance in its entirety. As of June 30, 2017, there were no borrowings under either revolving credit facility; however, $326 million in letters of credit was outstanding against the 2016 revolving credit facility. Loans under the 2016 credit agreement are subject to varying rates of interest based on whether the loan is a Eurodollar loan or an alternate base rate loan. Eurodollar loans bear interest at the Eurodollar rate, which is adjusted LIBOR plus applicable margins ranging from 1.750% to 2.500% . Alternate base rate loans bear interest at the alternate base rate plus the applicable margin ranging from 0.750% to 1.500% . The interest rate on the term loan facility is determined based upon the Company’s public debt ratings and was 250 basis points over LIBOR as of June 30, 2017. The 2016 term loan and revolving credit facility contain financial covenants that impose certain restrictions on the Company. Under the credit agreement, the Company must maintain a minimum interest coverage of 1.00x in 2017, increasing by 0.25x increments per year to 1.50x in 2019 and 2020 . The Company is also subject to a minimum liquidity requirement of $300 million, which could be increased up to $500 million upon certain conditions, as well as an anti-hoarding provision, requiring unrestricted cash in excess of $100 million to pay down any amounts borrowed under the revolving credit facility. The financial covenant with respect to minimum interest coverage consists of EBITDAX divided by consolidated interest expense. EBITDAX, as defined in our 2016 credit agreement, excludes the effects of interest expense, income taxes, depreciation, depletion and amortization, any non-cash impacts from impairments, certain non-cash hedging activities, stock-based compensation expense, non-cash gains or losses on asset sales, unamortized issuance cost, unamortized debt discount and certain restructuring costs. Collateral for the secured term loan is principally the Company’s E&P properties in the Fayetteville Shale area, the equity of its subsidiaries and cash and marketable securities on hand, and the credit agreement requires a minimum collateral coverage ratio of 1.50x for the 2016 secured term loan. This collateral also may support all or a part of revolving credit extensions depending on restrictions in the Company’s senior notes indentures. A s of June 30, 2017 , the Company was in compliance with all of the covenants of this credit agreement. Although the Company does not anticipate any violations of the financial covenants, its ability to comply with these covenants is dependent upon the success of its exploration and development program and upon factors beyond the Company’s control, such as the market prices for natural gas, oil and NGLs. 2013 Credit Facility In December 2013, the Company entered into a credit agreement that exchanged its previous revolving credit facility. Under the revolving credit facility, the Company had a borrowing capacity of $2.0 billion. The revolving credit facility was unsecured and was not guaranteed by any subsidiaries . In June 2016, this credit facility was substantially exchanged for a new credit facility comprised of a $1,191 million secured term loan and a new $743 million revolving credit facility. The borrowing capacity of the original 2013 credit agreement was reduced from $2.0 billion to $66 million, remains unsecured and the maturity remains December 2018 . As of June 30, 2017, there were no borrowings under this facility. The existing unsecured 2013 revolving credit facility includes a financial covenant under which the Company may not have total debt in excess of 60% of its total adjusted book capital. This financial covenant with respect to capitalization percentages excludes the effects of any full cost ceiling impairments, certain hedging activities and the Company’s pension and other postretirement liabilities. At June 30, 2017, debt constitute d 32% of the Company’s adjusted book capital. 2015 Term Facility In November 2015, the Company entered into a $750 million unsecured three -year term loan credit agreement with various lenders that was utilized to repay borrowings under the revolving credit facility. The interest rate on the term loan facility is determined based upon the Company’s public debt ratings from Moody’s and S&P and was 250 basis points over LIBOR as of June 30, 2017. The term loan facility requires prepayment under certain circumstances from the net cash proceeds of sales of equity or certain assets and borrowings outside the ordinary course of business. In June 2016, this term loan agreement was amended to extend the maturity date upon a repayment threshold. From the net proceeds of the July 2016 equity offering, the Company repaid $375 million of the $750 million unsecured term loan, which had the effect of extending the term loan maturity from November 2018 to December 2020 , which will accelerate to October 2019 if, by that date, the Company has not amended, redeemed or refinanced at least $765 million of its senior notes due in January 2020 . In September 2016, the Company repaid an additional $48 million from the proceeds received from the closing of the sale of approximately 55,000 net acres in West Virginia. Senior Notes In January 2015, the Company completed a public offering of $350 million aggregate principal amount of its 3.30% senior notes due 2018 (the “2018 Notes”), $850 million aggregate principal amount of its 4.05% senior notes due 2020 (the “2020 Notes”) and $1.0 billion aggregate principal amount of its 4.95% senior notes due 2025 (the “2025 Notes” together with the 2018 and 2020 Notes, the “Notes”), with net proceeds from the offering totaling approximately $2.2 billion after underwriting discounts and offering expenses. The Notes were sold to the public at a price of 99.949% of their face value for the 2018 Notes, 99.897% of their face value for the 2020 Notes and 99.782% of their face value for the 2025 Notes. The interest rates on the Notes are determined based upon the public bond ratings from Moody’s and S&P. Downgrades on the Notes from either rating agency increase interest costs by 25 basis points per downgrade level and upgrades decrease interest costs by 25 basis points per upgrade level, up to the stated coupon rate, on the following semi-annual bond interest payment. In February and June 2016, Moody’s and S&P downgraded the Notes, increasing the interest rates by 175 basis points effective July 2016. As a result of these downgrades, interest rates increased to 5.05% for the 2018 Notes, 5.80% for the 2020 Notes and 6.70% for the 2025 Notes. In the event of future downgrades, the coupons for this series of notes are capped at 5.30% , 6.05% and 6.95% , respectively. The first coupon payment at the higher interest rates was paid in January 2017. In July 2016, the Company used a portion of the proceeds from the July 2016 equity offering to settle certain tender offers by purchasing an aggregate principal amount of approximately $700 million of its outstanding senior notes due in the first quarter of 2018. In March 2017, the Company repurchased $25 million of its 7.50% Senior Notes due February 2018 and recognized a $1 million loss on the extinguishment of debt. In May 2017, the Company redeemed all (i) $187 million principal amount of its outstanding 7.50% Senior Notes due February 2018 , (ii) $38 million principal amount of its outstanding 3.30% Senior Notes due January 2018 and (iii) $26 million principal amount of its outstanding 7.15% Senior Notes due June 2018 and recognized a $10 million loss on the extinguishment o f debt. |
Commitments And Contingencies
Commitments And Contingencies | 6 Months Ended |
Jun. 30, 2017 | |
Commitments And Contingencies [Abstract] | |
Commitments And Contingencies | (1 0 ) COMMIT MENTS AND CONTINGENCIES Operating Commitments and Contingencies As of June 30, 2017, the Company’s contractual obligations for demand and similar charges under firm transportation and gathering agreements to guarantee access capacity on natural gas and liquids pipelines and gathering systems totaled approximately $ 8. 6 billion, $3.6 billion of which related to access capacity on future pipeline and gathering infrastructure projects that still require the granting of regulatory approvals and additional construction efforts. The Company also had guarantee obligations of up to $822 million of that amount. As of June 30 , 201 7 , future payments under non-cancelable firm transportat ion and gathering agreements were as follows: Payments Due by Period Total Less than 1 Year 1 to 3 Years 3 to 5 Years 5 to 8 Years More than 8 Years (in millions) Infrastructure currently in service $ 4,944 $ 580 $ 1,128 $ 766 $ 843 $ 1,627 Pending regulatory approval and/or construction (1) 3,608 46 398 464 714 1,986 Total transportation charges $ 8,552 $ 626 $ 1,526 $ 1,230 $ 1,557 $ 3,613 (1) Based on the estim ated in-service dates as of June 3 0 , 201 7 . Environ mental 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. Litiga tion 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. The Company accrues for such items when a liability is both probable and the amount can be reasonably estimated. Management believes that current litigation, claims and proceedings, individually or in aggregate and after taking into account insurance, are not likely to have a material adverse impact on the Company’s financial position, results of operations or cash flows , although it is possible that adverse outcomes could have a material adverse effect on the Company’s results of operations or cash flows for the period in which the effect of that outcome becomes reasonably estimable. Many of these matters are in early stages, so the allegations and the damage theories have not been fully developed, and are all subject to inhe rent uncertainties; therefore, m anagement’s vie w may change in the future. Arkansas Royalty Litigation In June 2017 the jury returned a verdict in favor of the Company on all counts in Smith v. SEECO, Inc. et al. , a class action in the United States District Court for the Eastern District of Arkansas. The plaintiff had alleged that the Company had underpaid lessors of lands in Arkansas by deducting from royalty payments costs for gathering, transportation and compression of natural gas in excess of what is permitted by the relevant leases and asserted claims for, among other things, breach of contract, fraud, civil conspiracy, unjust enrichment and violation of certain Arkansas statutes. Following the verdict, the court entered judgme nt in favor of the Company on all claims. The plaintiff has moved for a new trial, and the court has not yet ruled on that motion. The plaintiff class in Smith comprises the vast majority of lessors of lands in Arkansas for which leases permit deductions for these types of costs. Most of the remaining lessors are named plaintiffs or members of classes in other pending lawsuits; in particular, two actions on behalf of certified classes of only Arkansas residents pending in state courts in Arkansas (no trial date set) and three cases (all currently stayed) that were filed in Arkansas state court on behalf of a total of 248 individually named plaintiffs, two of which have been removed to federal court have been assigned to the same court that held the Smith trial. Management believes that, as the Smith jury concluded, the deductions from royalty payments were calculated in accordance with the leases. The Company currently does not anticipate that these other cases are likely to have a material adverse effect on the results of operations, financial position or cash flows of the Company. 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. |
Pension Plan And Other Postreti
Pension Plan And Other Postretirement Benefits | 6 Months Ended |
Jun. 30, 2017 | |
Pension Plan And Other Postretirement Benefits [Abstract] | |
Pension Plan And Other Postretirement Benefits | (1 1 ) PENSION PLAN AND OTHER POSTRETIREMENT BENEFITS The Company maintains defined pension and postretirement benefit plans which cover substantially all of the Company’s employees. Net periodic pension costs include the following components for the three and six months ended June 30, 2017 and 2016 : Pension Benefits For the three months ended For the six months ended June 30, June 30, 2017 2016 2017 2016 (in millions) Service cost $ 3 $ 2 $ 5 $ 6 Interest cost 1 1 2 3 Expected return on plan assets (2) (1) (3) (3) Amortization of prior service cost – − − − Amortization of net loss – 1 1 1 Curtailment loss − 1 − 1 Settlement loss − 8 − 8 Net periodic benefit cost $ 2 $ 12 $ 5 $ 16 The Company’s other postretirement benefit plan had a marginal net periodic benefit cost for the three months ended June 30, 2017, a net periodic benefit gain of $6 million for the three months ended June 30 , 2016 and a net periodic benefit cost (gain) of $1 million and ( $5 ) million for the six months ended June 30, 2017 and 2016, respectively . Included in the net periodic benefit cost for the three and six months ended June 30, 2016 is a curtailment gain of $6 million, which more than offset the other components of net periodic benefit cost. As of June 30 , 201 7 , the Company has contributed $8 million to the pension and other postretirement benefit plans in 2017. The Company expects to contribute an additional $6 m illion to its pension plan during the remainder of 2017. The Company recognized a liability o f $33 million and $14 milli on related to its pension and other postretirement be nefits, respectively, as of June 30 , 201 7, compared to a liability of $36 million and $13 million as of December 31, 2016. The Company updated the discount rate currently used in the measurement of the benefit obligation of the pension plan and other postretirement benefits plan to 4.20% in the second quarter of 2016. The Company used a discount rate of 4.60% during the first quarter of 2016 for the measurement of the benefit obligation of both the pension and other postretirement benefit plans. In January 2016, the Company initiated a reduction in workforce that was substantially completed by the end of the first quarter of 2016. The impact of the workforce reduction on the Company’s pension and other postretirement benefit costs was not recognized until subsequent quarters in 2016 due to the delayed timing of actuarial data available. The Company maintains a non-qualified deferred compensation supplemental retirement savings plan (“Non-Qualified Plan”) for certain key employees who may elect to defer and contribute a portion of their compensation, as permitted by the Non-Qualified P lan. Shares of the Company’s common stock purchased under the terms of the Non-Qualified Plan are presented as treasury stock and totaled 11,686 sha res at June 30 , 201 7, compared to 31,269 s hares at December 31, 2016 . |
Stock-Based Compensation
Stock-Based Compensation | 6 Months Ended |
Jun. 30, 2017 | |
Stock-Based Compensation [Abstract] | |
Stock-Based Compensation | (1 2 ) STOCK-BASE D COMPENSATION The Company recognized the following amounts in employee stock-based compensation costs for the three and six months ended June 30, 2017 and 201 6 : For the three months ended For the six months ended June 30, June 30, 2017 2016 2017 2016 (in millions) Stock-based compensation cost – expensed (1) (2) $ 6 $ 14 $ 12 $ 37 Stock-based compensation cost – capitalized $ 4 $ 2 $ 8 $ 5 (1) Includes $2 million and $16 million related to the reduction in workforce for the three and six months ended June 30 , 2016 , respectively . (2) Includes $3 million related to executive management restructuring for the three and six months ended June 30, 2016, respectively. In January 2016, the Company announced a 40% workforce reduction that was substantially completed by the end of March 2016. In April 2016, the Company also partially restructured executive management, which was substantially completed in the second quarter of 2016. Affected employees were offered a severance package that included, if applicable, amendments to certain outstanding equity awards that modified forfeiture provisions on separation from the Company. As a result, certain unvested stock-based equity awards became fully vested at the time of separation. These shares were revalued and recognized immediately as a component of restructuring charges on the Company’s unaudited condensed consolidated statements of operations. The unvested portion of equity-based performance units was forfeited upon separation from the Company. As of June 30, 2017, there wa s $ 78 million of total unrecognized compensation cost related to the Company’s unvested stock option grants, restricted stock grants and performance units. This cost is expected to be recognized over a weighted-average period of 3 years. Stock Options The following table summarizes s tock option activity for the six months ended June 30, 2017 and provides information for options outstanding an d options exercisable as of June 30, 2017 : Number Weighted Average of Options Exercise Price (in thousands) (per share) Outstanding at December 31, 2016 5,416 $ 23.46 Granted 1,322 8.59 Exercised – – Forfeited or expired (454) 12.99 Outstanding at June 30, 2017 6,284 21.09 Exercisable at June 30, 2017 3,582 $ 29.21 Restricted Stock The following table summarizes restr icted stock activity for the six months ended June 30, 2017 and provides information for unvested shares as of June 30, 2017 : Number Weighted Average of Shares Fair Value (in thousands) (per share) Unvested shares at December 31, 2016 3,321 $ 11.85 Granted 4,903 8.48 Vested (147) 11.44 Forfeited (416) 10.29 Unvested shares at June 30, 2017 7,661 $ 9.79 Equity-Classified Performance Units The following table summarizes performance unit activity for the six months ended June 30, 2017 and provides information for unvested units as o f June 30, 2017. The performance units awarded in 2014 inclu ded a market condition based on r elative Total Shareholder Return (“TSR”) and a performance condition based on the Company's Present Value Index (“PVI”), collectively the “Performance Measures .” The fair value of the TSR market condition is based on a Monte Carlo model and the fair value of the PVI performance condition is based on economic analysis for each investment opportunity based upon the expected present value added for each dollar to be invested. The total fair value of the performance units is amortized to com pensation expense on a straight line basis over the vesting period of the award. The performance unit awards granted in 2015, 2016 and during the first half of 2017 include a market condition based exclusively on TSR. The grant date fair value is calculated using the applicable Performance Measures and the closing price of the Company’s common stock at the grant date. Number Weighted Average of Units (1) Fair Value (in thousands) (per share) Unvested units at December 31, 2016 719 $ 11.46 Granted 1,197 10.47 Vested (2) 13.88 Forfeited (332) 10.93 Unvested units at June 30, 2017 1,582 $ 10.82 (1) These amounts reflect the number of performance units granted in thousands. The actual payout of shares may range from a minimum of zero shares to a maximum of two shares per unit contingent upon the actual performance against the Performance Measures. The performance units have a three -year vesting term and the actual disbursement of shares, if any, is determined during the first quarter following the end of the three-year vesting period. Liability-Classified Performance Units Prior to 2013, c ertain employees were award ed performance units which vested equally over three yea rs and which were settled in cash. The payout of these units wa s based on certain metrics, such as total shareholder return and reserve replacement efficiency, compared to a predetermined group of peer companies and Company goal s . At the end of each performance period, the value of the vest ed performance units, if any, would be paid in cash. In the first quarter of 2016, the Company completed the final payout with respect to these performance units . |
Segment Information
Segment Information | 6 Months Ended |
Jun. 30, 2017 | |
Segment Information [Abstract] | |
Segment Information | (1 3 ) SEGM ENT 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 liquids. The Midstream Services segment generates revenue through the marketing of both Company and third-party produced natural gas and liquids 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 of the Notes to Consolidated Financial Statements included in Item 8 of the 201 6 Annual Report. Management evaluates the performance of its segments based on operating income, defined as operating revenues less operating costs. 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 oper ating income, interest expense, gain (loss) on derivatives , loss on early extinguishment of debt and other income (loss ). The “Other” column includes items not related to the Company’s reportable segments , including real estate and corporate items. Exploration and Production Midstream Services Other Total (in millions) Three months ended June 30, 2017: Revenues from external customers $ 531 $ 280 $ – $ 811 Intersegment revenues (5) 542 – 537 Depreciation, depletion and amortization expense 107 16 – 123 Operating income 146 42 – 188 Interest expense (1) 34 – – 34 Gain on derivatives 134 – – 134 Loss on early extinguishment of debt – – (10) (10) Other income, net 2 4 – 6 Assets 4,633 1,281 1,236 (2) 7,150 Capital investments (3) 318 6 1 325 Three months ended June 30, 2016: Revenues from external customers $ 291 $ 231 $ – $ 522 Intersegment revenues (7) 328 – 321 Depreciation, depletion and amortization expense 90 17 – 107 Impairment of natural gas and oil properties 470 – – 470 Operating income (loss) (549) (4) 57 – (492) Interest expense (1) 16 1 – 17 Loss on derivatives (85) – – (85) Other income (loss), net 3 (2) (1) – Benefit for income taxes (1) (1) – – (1) Assets 5,000 1,227 1,150 (2) 7,377 Capital investments (3) 73 – 1 74 Exploration and Production Midstream Services Other Total (in millions) Six months ended June 30, 2017: Revenues from external customers $ 1,097 $ 560 $ – $ 1,657 Intersegment revenues (8) 1,120 – 1,112 Depreciation, depletion and amortization expense 197 32 – 229 Operating income 371 83 – 454 Interest expense (1) 66 – – 66 Gain on derivatives 250 – – 250 Loss on early extinguishment of debt – – (11) (11) Other income, net 4 4 – 8 Assets 4,633 1,281 1,236 (2) 7,150 Capital investments (3) 601 12 2 615 Six months ended June 30, 2016: Revenues from external customers $ 634 $ 467 $ – $ 1,101 Intersegment revenues (14) 713 – 699 Depreciation, depletion and amortization expense 217 33 – 250 Impairment of natural gas and oil properties 1,504 – – 1,504 Operating income (loss) (1,709) (4) 117 (5) – (1,592) Interest expense (1) 30 1 – 31 Loss on derivatives (98) (1) – (99) Other income (loss), net 1 (3) (1) (3) Assets 5,000 1,227 1,150 (2) 7,377 Capital investments (3) 193 2 1 196 (1) Interest expense and the benefit for income taxes by segment are an allocation of corporate amounts as they are incurred at the corporate level. (2) Other assets represent corporate assets not allocated to segments and assets for non-reportable segments. At June 30, 2017 and 2016, other assets includes approximately $1.1 billion and $998 million in cash and cash equivalents, respectively. (3) Capital investments includes increases of $41 million and $27 million for the three months ended June 30, 2017 and 2016 , respectively, and decreases of $11 million and $51 million for the six months ended June 30, 2017 and 2016, respectively, relating to the change in accrued expenditures between periods. (4) Operating income (loss) for the E&P segment includes $11 million and $72 million related to restructuring charges for the three and six months ended June 30, 2016, respectively. (5) Operating income (loss) for the Midstream services segment includes $3 million related to restructuring charges for the six months ended June 30, 2016. Included in intersegment revenues of the Midstrea m Services segment are $ 490 million and $ 267 million for the three months ended June 30, 2017 and 2016, respectively and $1,014 million and $586 million for the six months ended June 30, 2017 and 2016, respectively, for marketing of the Company’s E&P sales. Corp orate assets include cash and cash equivalents, furniture and fixtures and other costs. Corporate general and administrative costs, depreciation expense and taxes other than income are allocated to the segments. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2017 | |
Income Taxes [Abstract] | |
Income Taxes | (14) INCOME TAXES The Company’s effective tax rate was approximately 0% for the three and six months ended June 30, 2017 and 2016 , primarily as a result of the existence of a valuation allowance. A valuation allowance for deferred tax assets, including net operating losses, is recognized when it is more likely than not that some or all of the benefit from the deferred tax asset will not be realized. To assess that likelihood, the Company uses estimates and judgment regarding future taxable income, and considers the tax consequences in the jurisdiction where such taxable income is generated, to determine whether a valuation allowance is required. Such evidence can include current financial position, results of operations, both actual and forecasted, the reversal of deferred tax liabilities, and tax planning strategies as well as the current and forecasted business economics of the oil and gas industry. The Company maintained its net deferred tax asset position at June 30, 2017 primarily due to the write-downs of the carrying value of natural gas and oil properties in 2015 and 2016. The Company record ed decreases in our valuation allowance of $107 million and $182 million for the three and six months ended June 30, 2017 , respectively. For the three and six months ended June 30, 2016, there were increases in our valuation allowance of $216 million and $647 million, respectively . Management assesses the available positive and negative evidence to estimate whether sufficient future taxable income will be generated to permit the use of deferred tax assets. In management’s view, the cumulative loss incurred over recent years outweighs any positive factors, such as the possibility of future growth. The amount of the deferred tax asset considered realizable, however, could be adjusted if estimates of future taxable income are increased or if objective negative evidence in the form of cumulative losses is no longer present and additional weight is given to subjective evidence such as future expected growth. |
New Accounting Pronouncements
New Accounting Pronouncements | 6 Months Ended |
Jun. 30, 2017 | |
New Accounting Pronouncements [Abstract] | |
New Accounting Pronouncements | (1 5 ) NEW ACCOUNTI NG PRONOUNCEMENTS New Accounting Standards Implemented In March 2016, the FASB issued Accounting Standards Update No. 2016-09, Compensation – Stock Compensation (Topic 718) (“Update 2016-09”), to simplify accounting for share-based payment transactions including income tax consequences, classification of awards as either equity or liabilities, and the classification on the statement of cash flows. For public entities, Update 2016-09 became effective for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years, with early adoption permitted. The Company adopted Update 2016-09 during the first quarter with an effective date of January 1, 2017. The recognition of previously unrecognized windfall tax benefits resulted in a net cumulative-effect adjustment of $59 million, which increased net deferred tax assets and the related income tax valuation allowance by the same amount as of the beginning of 2017. The amendments within Update 2016-09 related to the recognition of excess tax benefits and tax shortfalls in the income statement and presentation within the operating section of the statement of cash flows were adopted prospectively, with no adjustments made to prior periods. The Company has elected to account for forfeitures as they occur. The remaining provisions of this amendment did not have a material effect on its unaudited condensed consolidated results of operations, financial position or cash flows. New Accounting Standards Not Yet Implemented In March 2017, the FASB issued Accounting Standards Update No. 2017-07, Compensation - Retirement Benefits (Topic 715) (“Update 2017-07”), which provides additional guidance on the presentation of net benefit cost in the statement of operations and on the components eligible for capitalization in assets. The guidance is effective for annual periods beginning after December 15, 2017, including interim periods within those annual periods. The amendments in this update should be applied retrospectively for the presentation of the service cost component and the other components of net periodic postretirement benefit cost in the income statement and prospectively, on and after the effective date, for the capitalization of the service cost component of net periodic benefit cost in assets. The Company is evaluating the impact of the adoption of Update 2017-07 on its consolidated financial statements and related disclosures. In August 2016, the FASB issued Accounting Standards Update No. 2016-15, Statement of Cash Flows (Topic 230) (“Update 2016-15”), which seeks to reduce the existing diversity in practice in how certain cash receipts and cash payments are presented and classified in the statement of cash flows. For public entities, Update 2016-15 becomes effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years, with early adoption permitted. The Company does not expect the impact of adopting Update 2016-15 to have a material effect on its consolidated financial statements and related disclosures . In February 2016, the FASB issued Accounting Standards Update No. 2016-02, Leases (Topic 842) (“Update 2016-02”), which seeks to increase transparency and comparability among organizations by, among other things, recognizing lease assets and lease liabilities on the balance sheet for leases classified as operating leases under previous GAAP and disclosing key information about leasing arrangements. Through June 2017, the Company made progress on contract reviews, drafting its accounting policies and evaluating the new disclosure requirements. The Company will continue assessing the effect that the updated standard may have on its consolidated financial statements and related disclosures, and anticipates that its assessment will be complete in 2018. For public entities, Update 2016-02 becomes effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years, with early adoption permitted. In May 2014, the FASB issued Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers (Topic 606) (“Update 2014-09”), which seeks to provide clarity for recognizing revenue. The new standard removes inconsistencies in existing standards, changes the way companies recognize revenue from contracts with customers and increases disclosure requirements. The codification was amended through additional ASUs and, as amended, requires an entity to recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration the entity expects to be entitled to in exchange for those goods or services. The standard is required to be adopted using either the full retrospective approach, with all prior periods presented adjusted, or the modified retrospective approach, with a cumulative adjustment to retained earnings on the opening balance sheet. The Company has not yet selected a transition method. The Company has a team in place to analyze the impact of Update 2014-09, and the related ASU's, across all revenue streams to evaluate the impact of the new standard on revenue contracts. This includes reviewing current accounting policies and practices to identify potential differences that would result from applying the requirements under the new standard. Through June 2017, the Company made progress on contract reviews, drafting its accounting policies and evaluating the new disclosure requirements. The Company expects to complete its evaluations of the impacts of the accounting and disclosure requirements on its business processes, controls and systems in the second half of 2017. For public entities, the new standard is effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. |
Cash And Cash Equivalents (Tabl
Cash And Cash Equivalents (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Cash And Cash Equivalents [Abstract] | |
Summary Of Cash And Cash Equivalents | June 30 , December 31, 201 7 201 6 (in millions) Cash $ 263 $ 254 Marketable securities (1) 798 1,169 Other cash equivalents (2) 50 − Total cash and cash equivalents $ 1,111 $ 1,423 (1) Consists of government stable value money market funds. (2) Consists of time deposits. |
Reduction In Workforce (Tables)
Reduction In Workforce (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Reduction In Workforce [Abstract] | |
Summary Of Restructuring Charges | For the three months ended For the six months ended June 30, 2016 June 30, 2016 (in millions) Severance (including payroll taxes) (1) $ 2 $ 44 Stock-based compensation (2) 6 24 Pension and other postretirement benefits (3) 3 3 Other benefits − 3 Outplacement services, other − 1 Total restructuring charges (4) $ 11 $ 75 (1) Includes $1 million related to executive management restructuring for the three and six months ended June 30, 2016. (2) Includes $3 million related to executive management restructuring for the three and six months ended June 30, 2016. (3) Includes non-cash charges related to the curtailment and settlement of the pension and other postretirement benefit plans. See Note 11 for additional details regarding the Company’s retirement and employee benefit plans. (4) Total restructuring charges were $11 million and less than $1 million for the Company’s E&P and Midstream Services segments, respectively, for the three months ended June 30, 2016 . For the six months ended June 30, 2016, restructuring charges were $72 million and $3 million for the Company’s E&P and Midstream Services segments, respectively. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Earnings Per Share [Abstract] | |
Schedule Of Earnings Per Share | For the three months ended For the six months ended June 30, June 30, 2017 2016 2017 2016 (in millions, except share/per share amounts) Net income (loss) $ 284 $ (593) $ 635 $ (1,725) Mandatory convertible preferred stock dividend 27 27 54 54 Participating securities - mandatory convertible preferred stock 33 – 76 – Net income (loss) attributable to common stock $ 224 $ (620) $ 505 $ (1,779) Number of common shares: Weighted average outstanding 496,419,815 385,594,815 494,753,391 384,232,831 Issued upon assumed exercise of outstanding stock options – – 3,317 – Effect of issuance of non-vested restricted common stock 761,311 – 707,576 – Effect of issuance of non-vested performance units 1,043,473 – 1,163,559 – Effect of issuance of mandatory convertible preferred stock – – – – Weighted average and potential dilutive outstanding 498,224,599 385,594,815 496,627,843 384,232,831 Earnings (l oss) per common share: Basic $ 0.45 $ (1.61) $ 1.02 $ (4.63) Diluted $ 0.45 $ (1.61) $ 1.02 $ (4.63) |
Schedule Of Antidilutive Securities Excluded From Computation Of Earnings Per Share | For the three months ended For the six months ended June 30, June 30, 2017 2016 2017 2016 Unvested stock options − 4,028,819 1,344,942 4,781,109 Unvested share-based payment 6,106,322 3,353,371 3,504,222 2,844,365 Performance units 1,268,040 780,920 980,836 577,624 Mandatory convertible preferred stock 74,999,895 74,999,895 74,999,895 74,999,895 Total 82,374,257 83,163,005 80,829,895 83,202,993 |
Derivatives And Risk Manageme27
Derivatives And Risk Management (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Derivatives And Risk Management [Abstract] | |
Schedule Of Derivative Instruments, Notional Amount In BCF, Weighted Average Contract Prices And Fair Value | Weighted Average Price per MMBtu Volume (Bcf) Swaps Sold Puts Purchased Puts Sold Calls Basis Differential Fair Value at June 30, 2017 (in millions) Financial protection on production 2017 Fixed price swaps 168 $ 3.07 $ – $ – $ – $ – $ (2) Two-way costless-collars 48 – – 2.93 3.35 – – Three-way costless-collars 68 – 2.29 2.97 3.30 – – Total 284 $ (2) 2018 Fixed price swaps 94 $ 3.00 $ – $ – $ – $ – $ 1 Two-way costless-collars 23 – – 2.97 3.56 – (2) Three-way costless-collars 272 – 2.40 2.97 3.37 – 9 Total 389 $ 8 2019 Three-way costless-collars 108 $ – $ 2.50 $ 2.95 $ 3.32 $ – $ (2) Total 108 $ (2) Basis Swaps 2017 86 $ – $ – $ – $ – $ (1.03) $ (13) 2018 20 – – – – (0.95) (15) Total 106 $ (28) Weighted Average Price per MMBtu Volume (Bcf) Sold Calls Fair Value at June 30, 2017 (in millions) Call options 2017 43 $ 3.68 $ (2) (1) 2018 63 3.50 (11) 2019 52 3.50 (10) 2020 32 3.75 (5) Total 190 $ (28) (1) Excludes $5 million in premiums paid related to certain call options recognized as a component of derivative assets within current assets on the unaudited condensed consolidated balance sheet. As certain call options settle, the premium will be amortized and recognized as a component of gain (loss) on derivatives on the unaudited condensed consolidated statement s of operations. |
Balance Sheet Classification Of Derivative Financial Instruments | Derivative Assets Balance Sheet Classification Fair Value June 30, 2017 December 31, 2016 (in millions) Derivatives not designated as hedging instruments: Fixed price swaps Derivative assets $ 10 $ – Two-way costless collars Derivative assets 11 8 Three-way costless collars Derivative assets 45 11 Basis swaps Derivative assets 7 32 Call options Derivative assets 5 – Fixed price swaps Other long-term assets 5 1 Two-way costless collars Other long-term assets – 2 Three-way costless collars Other long-term assets 100 100 Basis swaps Other long-term assets – 1 Total derivative assets $ 183 ( 1 ) $ 155 Derivative Liabilities Balance Sheet Classification Fair Value June 30, 2017 December 31, 2016 (in millions) Derivatives not designated as hedging instruments: Fixed price swaps Derivative liabilities $ 15 $ 175 Two-way costless collars Derivative liabilities 14 49 Three-way costless collars Derivative liabilities 48 70 Basis swaps Derivative liabilities 35 13 Call options Derivative liabilities 14 46 Interest rate swaps Derivative liabilities 1 2 Fixed price swaps Other long-term liabilities – 3 Two-way costless collars Other long-term liabilities – 9 Three-way costless collars Other long-term liabilities 90 122 Basis swaps Other long-term liabilities – 5 Call options Other long-term liabilities 19 35 Interest rate swaps Other long-term liabilities 1 1 Total derivative liabilities $ 237 $ 530 (1) Excludes $5 million in premiums paid related to certain call options currently recognized as a component of derivative assets within current assets on the unaudited condensed consolidated balance sheet. As certain call options settle, the premium will be amortized and recognized as a component of gain (loss) on derivatives on the unaudited condensed consolidated statement s of operations. |
Summary Of Before Tax Effect Of Fair Value Hedges Not Designated For Hedge Accounting | Gain (Loss) on Derivatives, Unsettled Recognized in Earnings Consolidated Statements of Operations For the three months ended For the six months ended Classification of Gain (Loss) June 30, June 30, Derivative Instrument on Derivatives, Unsettled 2017 2016 2017 2016 (in millions) Fixed price swaps (1) Gain (Loss) on Derivatives $ 58 $ (60) $ 176 $ (40) Purchased put options Gain (Loss) on Derivatives – (15) – – Two-way costless collars Gain (Loss) on Derivatives 14 (5) 45 (5) Three-way costless collars Gain (Loss) on Derivatives 31 (2) 88 (2) Basis swaps Gain (Loss) on Derivatives 60 (1) (43) (4) Call options Gain (Loss) on Derivatives 11 (25) 53 (75) Interest rate swaps Gain (Loss) on Derivatives (1) – – (3) Total gain (loss) on unsettled derivatives $ 173 $ (108) $ 319 $ (129) Gain (Loss) on Derivatives, Settled (2) Recognized in Earnings Consolidated Statements of Operations For the three months ended For the six months ended Classification of Gain (Loss) June 30, June 30, Derivative Instrument on Derivatives, Settled 2017 2016 2017 2016 (in millions) Fixed price swaps (1) Gain (Loss) on Derivatives $ (9) $ 12 $ (25) $ 16 Purchased put options Gain (Loss) on Derivatives − 11 – 11 Two-way costless collars Gain (Loss) on Derivatives – − (3) − Three-way costless collars Gain (Loss) on Derivatives (1) − (5) − Basis swaps Gain (Loss) on Derivatives (29) − (30) 4 Call options Gain (Loss) on Derivatives – − (6) − Interest rate swaps Gain (Loss) on Derivatives – − – (1) Total gain (loss) on settled derivatives (3) $ (39) $ 23 $ (69) $ 30 Total gain (loss) on derivatives $ 134 $ (85) $ 250 $ (99) (1) Includes the Company’s fixed price swaps on natural gas and ethane. As of June 30, 2017, the amount of unsettled and settled fixed price swaps related to ethane was immaterial. (2) The Company calculates gain (loss) on derivatives, settled, as the summation of gains and losses on positions that have settled within the period. (3) Excluding interest rate swaps and settled ethane fixed price swaps , these amounts are included, along with gas sales revenues, in the calculation of the Company’s realized natural gas price. Settled ethane fixed price swaps are included, along with NGL sales revenues, in the calculation of the Company’s realized NGL price. |
Reclassifications From Accumu28
Reclassifications From Accumulated Other Comprehensive Income (Loss) (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Reclassifications From Accumulated Other Comprehensive Income (Loss) [Abstract] | |
Components Of Accumulated Other Comprehensive Income (Loss) | Pension and Other Postretirement Foreign Currency Total (in millions) Beginning balance, December 31, 2016 $ (19) $ (20) $ (39) Other comprehensive income before reclassifications – – – Amounts reclassified from other comprehensive income (1) 1 – 1 Net current-period other comprehensive income 1 – 1 Ending balance, June 30, 2017 $ (18) $ (20) $ (38) (1 ) See separate table below for details about these reclassifications . |
Amounts Reclassified From Accumulated Other Comprehensive Income (Loss) | Details about Accumulated Other Comprehensive Income Affected Line Item in the Consolidated Statement of Operations Amount Reclassified from Accumulated Other Comprehensive Income For the six months ended June 30, 2017 (in millions) Pension and other postretirement: Amortization of prior service cost and net loss (1) General and administrative expenses $ 1 Provision for income taxes – Net income (loss) $ 1 Total reclassifications for the period Net income (loss) $ 1 (1 ) See Note 11 for additional details regarding the Company’s retirement and employee benefit plans. |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Fair Value Measurements [Abstract] | |
Carrying Amount And Estimated Fair Values Of Financial Instruments | June 30, 2017 December 31, 2016 Carrying Fair Carrying Fair Amount Value Amount Value (in millions) Cash and cash equivalents $ 1,111 $ 1,111 $ 1,423 $ 1,423 Term loan facility due December 2020 (1) 327 327 327 327 Term loan facility due December 2020 (1) 1,191 1,191 1,191 1,191 Senior notes 2,890 2,821 3,166 3,182 Derivative instruments, net (2) (54) (54) (375) (375) (1) The maturity date will accelerate to October 2019 if, by that date, the Company has not amended, redeemed or refinanced at least $765 million of its senior notes due in January 2020 . (2) Excludes $5 million in premiums paid related to certain call options currently recognized as a component of derivative assets within current assets on the unaudited condensed consolidated balance sheet. |
Summary Of Assets And Liabilities Measured At Fair Value On Recurring Basis | June 30, 2017 Fair Value Measurements Using: Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets (Liabilities) at Fair Value Fixed price swap assets $ – $ 15 $ – $ 15 Two-way costless collars assets – – 11 11 Three-way costless collars assets – – 145 145 Basis swap assets – – 7 7 Call option assets (1) – – 5 5 Fixed price swap liabilities – (15) – (15) Two-way costless collars liabilities – – (14) (14) Three-way costless collars liabilities – – (138) (138) Basis swap liabilities – – (35) (35) Call option liabilities – – (33) (33) Interest rate swap liabilities – (2) – (2) Total $ – $ (2) $ (52) $ (54) (1) Excludes $5 million in premiums paid related to certain call options currently recognized as a component of derivative assets within current assets on the unaudited condensed consolidated balance sheet. December 31, 2016 Fair Value Measurements Using: Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets (Liabilities) at Fair Value Fixed price swap assets $ – $ 1 $ – $ 1 Two-way costless collars assets – – 10 10 Three-way costless collars assets – – 111 111 Basis swap assets – – 33 33 Fixed price swap liabilities – (178) – (178) Two-way costless collars liabilities – – (58) (58) Three-way costless collars liabilities – – (192) (192) Basis swap liabilities – – (18) (18) Call option liabilities – – (81) (81) Interest rate swap liabilities – (3) – (3) Total $ – $ (180) $ (195) $ (375) |
Reconciliations For 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 three months ended For the six months ended June 30, June 30, 2017 2016 2017 2016 (in millions) (in millions) Balance at beginning of period $ (168) $ (35) $ (195) $ 3 Total gains (losses): Included in earnings 86 (37) 99 (71) Settlements 30 (11) 44 (15) Transfers into/out of Level 3 – – – – Balance at end of period $ (52) $ (83) $ (52) $ (83) Change in gains (losses) included in earnings relating to derivatives still held as of June 30 $ 116 $ (48) $ 143 $ (86) |
Debt (Tables)
Debt (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Debt [Abstract] | |
Components Of Debt | June 30, 2017 Debt Instrument Unamortized Issuance Expense Unamortized Debt Discount Total (in millions) Short-term debt: 7.35% Senior Notes due October 2017 $ 15 $ – $ – $ 15 7.125% Senior Notes due October 2017 25 – – 25 Total short-term debt $ 40 $ – $ – $ 40 Long-term debt: Variable rate ( 3.690% at June 30, 2017) term loan facility, due December 2020 (3) 327 (2) – 325 Variable rate ( 3.690% at June 30, 2017) term loan facility, due December 2020 (3) 1,191 (9) – 1,182 4.05% Senior Notes due January 2020 (1) 850 (3) – 847 4.10% Senior Notes due March 2022 1,000 (4) (1) 995 4.95% Senior Notes due January 2025 (1) 1,000 (6) (2) 992 Total long-term debt $ 4,368 $ (24) $ (3) $ 4,341 Total debt $ 4,408 $ (24) $ (3) $ 4,381 December 31, 2016 Debt Instrument Unamortized Issuance Expense Unamortized Debt Discount Total (in millions) Short-term debt: 7.35% Senior Notes due October 2017 $ 15 $ – $ – $ 15 7.125% Senior Notes due October 2017 25 – – 25 7.15% Senior Notes due June 2018 1 – – 1 Total short-term debt $ 41 $ – $ – $ 41 Long-term debt: Variable rate ( 3.220% at December 31, 2016) term loan facility, due December 2020 (3) 327 (2) – 325 Variable rate ( 3.220% at December 31, 2016) term loan facility, due December 2020 (3) 1,191 (10) – 1,181 3.30% Senior Notes due January 2018 (1) (2) 38 – – 38 7.5 0% Senior Notes due February 2018 (2) 212 – – 212 7.15% Senior Notes due June 2018 (2) 25 – – 25 4.05% Senior Notes due January 2020 (1) 850 (5) – 845 4.10% Senior Notes due March 2022 1,000 (4) (1) 995 4.95% Senior Notes due January 2025 (1) 1,000 (7) (2) 991 Total long-term debt $ 4,643 $ (28) $ (3) $ 4,612 Total debt $ 4,684 $ (28) $ (3) $ 4,653 (1) In February and June 2016, Moody’s and S&P downgraded certain senior notes, increasing the interest rates by 175 basis points effective July 2016. As a result of the downgrades, interest rates increased to 5.05% for the 2018 Notes, 5.80% for the 2020 Notes and 6.70% for the 2025 Notes. (2) In March 2017, the Company repurchased $25 million of its 7.50% Senior Notes due February 2018 and recognized a $1 million loss on the extinguishment of debt. In May 2017, the Company re deem ed all (i) $187 million principal amount of its outstanding 7.50% Senior Notes due February 2018, (ii) $38 million principal amount of its outstanding 3.30% Senior Notes due January 2018 and (iii) $26 million principal amount of its outstanding 7.15% Senior Notes due June 2018 and recognized a $10 million loss on the extinguishment of debt. (3) The maturity date will accelerate to October 2019 if, by that date, the Company has not amended, redeemed or refinanced at least $765 million of its senior notes due in January 2020 . |
Commitments And Contingencies (
Commitments And Contingencies (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Commitments And Contingencies [Abstract] | |
Schedule Of Future Obligation Under Transportation Agreements | Payments Due by Period Total Less than 1 Year 1 to 3 Years 3 to 5 Years 5 to 8 Years More than 8 Years (in millions) Infrastructure currently in service $ 4,944 $ 580 $ 1,128 $ 766 $ 843 $ 1,627 Pending regulatory approval and/or construction (1) 3,608 46 398 464 714 1,986 Total transportation charges $ 8,552 $ 626 $ 1,526 $ 1,230 $ 1,557 $ 3,613 (1) Based on the estim ated in-service dates as of June 3 0 , 201 7 . |
Pension Plan And Other Postre32
Pension Plan And Other Postretirement Benefits (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Pension Plan And Other Postretirement Benefits [Abstract] | |
Pension And Other Postretirement Benefit Costs | Pension Benefits For the three months ended For the six months ended June 30, June 30, 2017 2016 2017 2016 (in millions) Service cost $ 3 $ 2 $ 5 $ 6 Interest cost 1 1 2 3 Expected return on plan assets (2) (1) (3) (3) Amortization of prior service cost – − − − Amortization of net loss – 1 1 1 Curtailment loss − 1 − 1 Settlement loss − 8 − 8 Net periodic benefit cost $ 2 $ 12 $ 5 $ 16 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Stock-Based Compensation [Abstract] | |
Schedule Of Stock-Based Compensation Costs | For the three months ended For the six months ended June 30, June 30, 2017 2016 2017 2016 (in millions) Stock-based compensation cost – expensed (1) (2) $ 6 $ 14 $ 12 $ 37 Stock-based compensation cost – capitalized $ 4 $ 2 $ 8 $ 5 (1) Includes $2 million and $16 million related to the reduction in workforce for the three and six months ended June 30 , 2016 , respectively . (2) Includes $3 million related to executive management restructuring for the three and six months ended June 30, 2016, respectively. |
Summary Of Stock Option Activity | Number Weighted Average of Options Exercise Price (in thousands) (per share) Outstanding at December 31, 2016 5,416 $ 23.46 Granted 1,322 8.59 Exercised – – Forfeited or expired (454) 12.99 Outstanding at June 30, 2017 6,284 21.09 Exercisable at June 30, 2017 3,582 $ 29.21 |
Summary Of Restricted Stock Activity | Number Weighted Average of Shares Fair Value (in thousands) (per share) Unvested shares at December 31, 2016 3,321 $ 11.85 Granted 4,903 8.48 Vested (147) 11.44 Forfeited (416) 10.29 Unvested shares at June 30, 2017 7,661 $ 9.79 |
Summary Of Performance Unit Activity | Number Weighted Average of Units (1) Fair Value (in thousands) (per share) Unvested units at December 31, 2016 719 $ 11.46 Granted 1,197 10.47 Vested (2) 13.88 Forfeited (332) 10.93 Unvested units at June 30, 2017 1,582 $ 10.82 (1) These amounts reflect the number of performance units granted in thousands. The actual payout of shares may range from a minimum of zero shares to a maximum of two shares per unit contingent upon the actual performance against the Performance Measures. The performance units have a three -year vesting term and the actual disbursement of shares, if any, is determined during the first quarter following the end of the three-year vesting period. |
Segment Information (Tables)
Segment Information (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Segment Information [Abstract] | |
Summary Financial Information For Company's Reportable Segments | Exploration and Production Midstream Services Other Total (in millions) Three months ended June 30, 2017: Revenues from external customers $ 531 $ 280 $ – $ 811 Intersegment revenues (5) 542 – 537 Depreciation, depletion and amortization expense 107 16 – 123 Operating income 146 42 – 188 Interest expense (1) 34 – – 34 Gain on derivatives 134 – – 134 Loss on early extinguishment of debt – – (10) (10) Other income, net 2 4 – 6 Assets 4,633 1,281 1,236 (2) 7,150 Capital investments (3) 318 6 1 325 Three months ended June 30, 2016: Revenues from external customers $ 291 $ 231 $ – $ 522 Intersegment revenues (7) 328 – 321 Depreciation, depletion and amortization expense 90 17 – 107 Impairment of natural gas and oil properties 470 – – 470 Operating income (loss) (549) (4) 57 – (492) Interest expense (1) 16 1 – 17 Loss on derivatives (85) – – (85) Other income (loss), net 3 (2) (1) – Benefit for income taxes (1) (1) – – (1) Assets 5,000 1,227 1,150 (2) 7,377 Capital investments (3) 73 – 1 74 Exploration and Production Midstream Services Other Total (in millions) Six months ended June 30, 2017: Revenues from external customers $ 1,097 $ 560 $ – $ 1,657 Intersegment revenues (8) 1,120 – 1,112 Depreciation, depletion and amortization expense 197 32 – 229 Operating income 371 83 – 454 Interest expense (1) 66 – – 66 Gain on derivatives 250 – – 250 Loss on early extinguishment of debt – – (11) (11) Other income, net 4 4 – 8 Assets 4,633 1,281 1,236 (2) 7,150 Capital investments (3) 601 12 2 615 Six months ended June 30, 2016: Revenues from external customers $ 634 $ 467 $ – $ 1,101 Intersegment revenues (14) 713 – 699 Depreciation, depletion and amortization expense 217 33 – 250 Impairment of natural gas and oil properties 1,504 – – 1,504 Operating income (loss) (1,709) (4) 117 (5) – (1,592) Interest expense (1) 30 1 – 31 Loss on derivatives (98) (1) – (99) Other income (loss), net 1 (3) (1) (3) Assets 5,000 1,227 1,150 (2) 7,377 Capital investments (3) 193 2 1 196 (1) Interest expense and the benefit for income taxes by segment are an allocation of corporate amounts as they are incurred at the corporate level. (2) Other assets represent corporate assets not allocated to segments and assets for non-reportable segments. At June 30, 2017 and 2016, other assets includes approximately $1.1 billion and $998 million in cash and cash equivalents, respectively. (3) Capital investments includes increases of $41 million and $27 million for the three months ended June 30, 2017 and 2016 , respectively, and decreases of $11 million and $51 million for the six months ended June 30, 2017 and 2016, respectively, relating to the change in accrued expenditures between periods. (4) Operating income (loss) for the E&P segment includes $11 million and $72 million related to restructuring charges for the three and six months ended June 30, 2016, respectively. (5) Operating income (loss) for the Midstream services segment includes $3 million related to restructuring charges for the six months ended June 30, 2016. |
Basis Of Presentation (Narrativ
Basis Of Presentation (Narrative) (Details) | 6 Months Ended |
Jun. 30, 2017segment | |
Basis Of Presentation [Abstract] | |
Number of segments | 2 |
Cash And Cash Equivalents (Summ
Cash And Cash Equivalents (Summary Of Cash And Cash Equivalents) (Details) - USD ($) $ in Millions | Jun. 30, 2017 | Dec. 31, 2016 | Jun. 30, 2016 | Dec. 31, 2015 |
Cash And Cash Equivalents [Abstract] | ||||
Cash | $ 263 | $ 254 | ||
Marketable securities | 798 | 1,169 | ||
Other cash equivalents | 50 | |||
Total cash and cash equivalents | $ 1,111 | $ 1,423 | $ 998 | $ 15 |
Reduction In Workforce (Narrati
Reduction In Workforce (Narrative) (Details) | 1 Months Ended |
Jan. 31, 2016 | |
Workforce Reduction [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Positions eliminated, percent | 40.00% |
Reduction In Workforce (Summary
Reduction In Workforce (Summary Of Restructuring Charges) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended |
Jun. 30, 2016 | Jun. 30, 2016 | |
Restructuring Cost and Reserve [Line Items] | ||
Total restructuring charges | $ 11 | $ 75 |
Exploration and Production [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Total restructuring charges | 11 | 72 |
Midstream Services [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Total restructuring charges | 3 | |
Workforce Reduction [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Severance (including payroll taxes) | 2 | 44 |
Stock-based compensation | 6 | 24 |
Pension and other postretirement benefits | 3 | 3 |
Other benefits | 3 | |
Outplacement services, other | 1 | |
Total restructuring charges | 11 | 75 |
Workforce Reduction [Member] | Executive Management [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Severance (including payroll taxes) | 1 | 1 |
Stock-based compensation | 3 | 3 |
Workforce Reduction [Member] | Exploration and Production [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Total restructuring charges | 11 | 72 |
Workforce Reduction [Member] | Midstream Services [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Total restructuring charges | $ 1 | $ 3 |
Natural Gas And Oil Properties
Natural Gas And Oil Properties (Narrative) (Details) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016USD ($) | Mar. 31, 2016USD ($) | Jun. 30, 2017$ / bbl$ / MMBTU | Jun. 30, 2016USD ($)$ / bbl$ / MMBTU | |
Natural Gas and Oil Properties [Line Items] | ||||
Natural gas, oil and NGL reserves discount | 10.00% | |||
Period of time needed to calculate ceiling value of reserves | 12 months | 12 months | ||
Impairment of natural gas and oil properties | $ | $ 470 | $ 1,034 | $ 1,504 | |
Natural Gas [Member] | Henry Hub [Member] | ||||
Natural Gas and Oil Properties [Line Items] | ||||
Full cost ceiling test, price | $ / MMBTU | 3.01 | 2.24 | ||
Oil [Member] | West Texas Intermediate [Member] | ||||
Natural Gas and Oil Properties [Line Items] | ||||
Full cost ceiling test, price | 45.42 | 39.63 | ||
NGL [Member] | ||||
Natural Gas and Oil Properties [Line Items] | ||||
Full cost ceiling test, price | 10.90 | 5.87 |
Earnings Per Share (Narrative)
Earnings Per Share (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | Jul. 17, 2017 | Jul. 31, 2016 | Nov. 30, 2015 | Jun. 30, 2017 | Dec. 31, 2016 |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||
Debt instrument | $ 4,408 | $ 4,684 | |||
Common stock, date dividend declared | Jun. 21, 2017 | ||||
Common stock, date dividend to be paid | Jul. 17, 2017 | ||||
Common Stock [Member] | |||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||
Shares issued | 98,900,000 | ||||
Price per share | $ 13 | ||||
Proceeds from issuance of shares | $ 1,247 | ||||
Series B Preferred Stock [Member] | |||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||
Trading day period | 20 days | ||||
Long-term Debt [Member] | |||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||
Debt instrument | $ 4,368 | 4,643 | |||
Long-term Debt [Member] | Term Loan 1 due December 2020 [Member] | |||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||
Payments on long-term debt | 375 | ||||
Debt instrument | $ 750 | $ 327 | $ 327 | ||
Debt instrument, term | 3 years | ||||
Senior Notes [Member] | |||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||
Purchase of note principal | $ 700 | ||||
Minimum [Member] | Depositary Shares [Member] | |||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||
Shares issued upon conversion | 1.85014 | ||||
Minimum [Member] | Series B Preferred Stock [Member] | |||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||
Shares issued upon conversion | 37.0028 | ||||
Potential number of shares issued upon conversion | 63,829,830 | ||||
Maximum [Member] | Depositary Shares [Member] | |||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||
Shares issued upon conversion | 2.17391 | ||||
Maximum [Member] | Series B Preferred Stock [Member] | |||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||
Shares issued upon conversion | 43.4782 | ||||
Potential number of shares issued upon conversion | 74,999,895 | ||||
Subsequent Event [Member] | |||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||
Common stock, shares issued as stock dividend | 3,346,738 |
Earnings Per Share (Schedule Of
Earnings Per Share (Schedule Of Earnings Per Share) (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Earnings Per Share [Abstract] | ||||
Net income (loss) | $ 284 | $ (593) | $ 635 | $ (1,725) |
Mandatory convertible preferred stock dividend | 27 | 27 | 54 | 54 |
Participating securities - mandatory convertible preferred stock | 33 | 76 | ||
Net Income (Loss) Attributable to Common Stock | $ 224 | $ (620) | $ 505 | $ (1,779) |
Number of common shares: Weighted average outstanding | 496,419,815 | 385,594,815 | 494,753,391 | 384,232,831 |
Number of common shares: Issued upon assumed exercise of outstanding stock options | 3,317 | |||
Number of common shares: Effect of issuance of non-vested restricted common stock | 761,311 | 707,576 | ||
Number of common shares: Effect of issuance of non-vested performance units | 1,043,473 | 1,163,559 | ||
Number of common shares: Effect of issuance of mandatory convertible preferred stock | ||||
Number of common shares: Weighted average and potential dilutive outstanding | 498,224,599 | 385,594,815 | 496,627,843 | 384,232,831 |
Earnings (loss) per common share: Basic | $ 0.45 | $ (1.61) | $ 1.02 | $ (4.63) |
Earnings (loss) per common share: Diluted | $ 0.45 | $ (1.61) | $ 1.02 | $ (4.63) |
Earnings Per Share (Schedule 42
Earnings Per Share (Schedule Of Antidilutive Securities Excluded From Computation Of Earnings Per Share) (Details) - shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from computation of earnings per share, shares | 82,374,257 | 83,163,005 | 80,829,895 | 83,202,993 |
Stock Options [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from computation of earnings per share, shares | 4,028,819 | 1,344,942 | 4,781,109 | |
Unvested Share-Based Payment [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from computation of earnings per share, shares | 6,106,322 | 3,353,371 | 3,504,222 | 2,844,365 |
Performance Units [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from computation of earnings per share, shares | 1,268,040 | 780,920 | 980,836 | 577,624 |
Mandatory Convertible Preferred Stock [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from computation of earnings per share, shares | 74,999,895 | 74,999,895 | 74,999,895 | 74,999,895 |
Derivatives And Risk Manageme43
Derivatives And Risk Management (Narrative) (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2017 | Dec. 31, 2016 | |
Interest Rate Swaps [Member] | ||
Derivative [Line Items] | ||
Derivative liabilities | $ 2 | $ 3 |
Not Designated as Hedging Instrument [Member] | Interest Rate Swaps [Member] | ||
Derivative [Line Items] | ||
Derivative liabilities | 2 | |
Notional amount | $ 170 | |
Derivative, expiration | Jun. 30, 2020 | |
Natural Gas [Member] | Not Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Derivative liabilities | $ 52 |
Derivatives And Risk Manageme44
Derivatives And Risk Management (Schedule Of Derivative Instruments, Notional Amount In BCF, Weighted Average Contract Prices And Fair Value) (Details) - Not Designated as Hedging Instrument [Member] $ in Millions, ft³ in Billions | 6 Months Ended |
Jun. 30, 2017USD ($)$ / MMBTUft³ | |
Fixed Price Swaps - 2017 [Member] | |
Derivative [Line Items] | |
Volume (Bcf) | ft³ | 168 |
Average price per MMBtu | 3.07 |
Fair Value | $ | $ (2) |
Two-way Costless-collars - 2017 [Member] | |
Derivative [Line Items] | |
Volume (Bcf) | ft³ | 48 |
Two-way Costless-collars - 2017 Purchased Puts [Member] | |
Derivative [Line Items] | |
Floor price per MMBtu | 2.93 |
Two-way Costless-collars - 2017 Sold Calls [Member] | |
Derivative [Line Items] | |
Cap price per MMBtu | 3.35 |
Three-way Costless-collars - 2017 [Member] | |
Derivative [Line Items] | |
Volume (Bcf) | ft³ | 68 |
Three-way Costless-collars - 2017 Sold Puts [Member] | |
Derivative [Line Items] | |
Floor price per MMBtu | 2.29 |
Three-way Costless-collars - 2017 Purchased Puts [Member] | |
Derivative [Line Items] | |
Floor price per MMBtu | 2.97 |
Three-way Costless-collars - 2017 Sold Calls [Member] | |
Derivative [Line Items] | |
Cap price per MMBtu | 3.30 |
Financial protection on production - 2017 [Member] | |
Derivative [Line Items] | |
Volume (Bcf) | ft³ | 284 |
Fair Value | $ | $ (2) |
Fixed Price Swaps - 2018 [Member] | |
Derivative [Line Items] | |
Volume (Bcf) | ft³ | 94 |
Average price per MMBtu | 3 |
Fair Value | $ | $ 1 |
Two-way Costless-collars - 2018 [Member] | |
Derivative [Line Items] | |
Volume (Bcf) | ft³ | 23 |
Fair Value | $ | $ (2) |
Two-way Costless-collars - 2018 Purchased Puts [Member] | |
Derivative [Line Items] | |
Floor price per MMBtu | 2.97 |
Two-way Costless-collars - 2018 Sold Calls [Member] | |
Derivative [Line Items] | |
Cap price per MMBtu | 3.56 |
Three-way Costless-collars - 2018 [Member] | |
Derivative [Line Items] | |
Volume (Bcf) | ft³ | 272 |
Fair Value | $ | $ 9 |
Three-way Costless-collars - 2018 Sold Puts [Member] | |
Derivative [Line Items] | |
Floor price per MMBtu | 2.40 |
Three-way Costless-collars - 2018 Purchased Puts [Member] | |
Derivative [Line Items] | |
Floor price per MMBtu | 2.97 |
Three-way Costless-collars - 2018 Sold Calls [Member] | |
Derivative [Line Items] | |
Cap price per MMBtu | 3.37 |
Financial protection on production - 2018 [Member] | |
Derivative [Line Items] | |
Volume (Bcf) | ft³ | 389 |
Fair Value | $ | $ 8 |
Three-way Costless-collars - 2019 [Member] | |
Derivative [Line Items] | |
Volume (Bcf) | ft³ | 108 |
Fair Value | $ | $ (2) |
Three-way Costless-collars - 2019 Sold Puts [Member] | |
Derivative [Line Items] | |
Floor price per MMBtu | 2.50 |
Three-way Costless-collars - 2019 Purchased Puts [Member] | |
Derivative [Line Items] | |
Floor price per MMBtu | 2.95 |
Three-way Costless-collars - 2019 Sold Calls [Member] | |
Derivative [Line Items] | |
Cap price per MMBtu | 3.32 |
Financial protection on production - 2019 [Member] | |
Derivative [Line Items] | |
Volume (Bcf) | ft³ | 108 |
Fair Value | $ | $ (2) |
Basis Swaps - 2017 [Member] | |
Derivative [Line Items] | |
Volume (Bcf) | ft³ | 86 |
Basis differential per MMBtu | (1.03) |
Fair Value | $ | $ (13) |
Basis Swaps - 2018 [Member] | |
Derivative [Line Items] | |
Volume (Bcf) | ft³ | 20 |
Basis differential per MMBtu | (0.95) |
Fair Value | $ | $ (15) |
Basis Swaps [Member] | |
Derivative [Line Items] | |
Volume (Bcf) | ft³ | 106 |
Fair Value | $ | $ (28) |
Call Options - 2017 [Member] | |
Derivative [Line Items] | |
Volume (Bcf) | ft³ | 43 |
Floor price per MMBtu | 3.68 |
Fair Value | $ | $ (2) |
Premium paid | $ | $ 5 |
Call Options - 2018 [Member] | |
Derivative [Line Items] | |
Volume (Bcf) | ft³ | 63 |
Floor price per MMBtu | 3.50 |
Fair Value | $ | $ (11) |
Call Options - 2019 [Member] | |
Derivative [Line Items] | |
Volume (Bcf) | ft³ | 52 |
Floor price per MMBtu | 3.50 |
Fair Value | $ | $ (10) |
Call Options - 2020 [Member] | |
Derivative [Line Items] | |
Volume (Bcf) | ft³ | 32 |
Floor price per MMBtu | 3.75 |
Fair Value | $ | $ (5) |
Call Options [Member] | |
Derivative [Line Items] | |
Volume (Bcf) | ft³ | 190 |
Fair Value | $ | $ (28) |
Derivatives And Risk Manageme45
Derivatives And Risk Management (Balance Sheet Classification Of Derivative Financial Instruments) (Details) - Not Designated as Hedging Instrument [Member] - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2017 | Dec. 31, 2016 | |
Derivatives, Fair Value [Line Items] | ||
Derivative assets | $ 183 | $ 155 |
Derivative liabilities | 237 | 530 |
Fixed Price Swaps [Member] | Derivative Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 10 | |
Fixed Price Swaps [Member] | Other Long-Term Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 5 | 1 |
Fixed Price Swaps [Member] | Derivative Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | 15 | 175 |
Fixed Price Swaps [Member] | Other Long-Term Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | 3 | |
Two-way Costless-collars [Member] | Derivative Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 11 | 8 |
Two-way Costless-collars [Member] | Other Long-Term Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 2 | |
Two-way Costless-collars [Member] | Derivative Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | 14 | 49 |
Two-way Costless-collars [Member] | Other Long-Term Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | 9 | |
Three-way Costless-collars [Member] | Derivative Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 45 | 11 |
Three-way Costless-collars [Member] | Other Long-Term Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 100 | 100 |
Three-way Costless-collars [Member] | Derivative Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | 48 | 70 |
Three-way Costless-collars [Member] | Other Long-Term Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | 90 | 122 |
Basis Swaps [Member] | Derivative Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 7 | 32 |
Basis Swaps [Member] | Other Long-Term Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 1 | |
Basis Swaps [Member] | Derivative Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | 35 | 13 |
Basis Swaps [Member] | Other Long-Term Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | 5 | |
Call Options [Member] | Derivative Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 5 | |
Call Options [Member] | Derivative Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | 14 | 46 |
Call Options [Member] | Other Long-Term Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | 19 | 35 |
Interest Rate Swaps [Member] | Derivative Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | 1 | 2 |
Interest Rate Swaps [Member] | Other Long-Term Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | 1 | $ 1 |
Call Options - 2017 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Premium paid | $ 5 |
Derivatives And Risk Manageme46
Derivatives And Risk Management (Summary Of Before Tax Effect Of Fair Value Hedges Not Designated For Hedge Accounting) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative Instrument, Gain (Loss) on Derivatives, Unsettled | $ 173 | $ (108) | $ 319 | $ (129) |
Derivative Instrument, Gain (Loss) on Derivatives, Settled | (39) | 23 | (69) | 30 |
Total gain (loss) on derivatives | 134 | (85) | 250 | (99) |
Fixed Price Swaps [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative Instrument, Gain (Loss) on Derivatives, Unsettled | 58 | (60) | 176 | (40) |
Derivative Instrument, Gain (Loss) on Derivatives, Settled | (9) | 12 | (25) | 16 |
Purchased Put Options [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative Instrument, Gain (Loss) on Derivatives, Unsettled | (15) | |||
Derivative Instrument, Gain (Loss) on Derivatives, Settled | 11 | 11 | ||
Two-way Costless-collars [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative Instrument, Gain (Loss) on Derivatives, Unsettled | 14 | (5) | 45 | (5) |
Derivative Instrument, Gain (Loss) on Derivatives, Settled | (3) | |||
Three-way Costless-collars [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative Instrument, Gain (Loss) on Derivatives, Unsettled | 31 | (2) | 88 | (2) |
Derivative Instrument, Gain (Loss) on Derivatives, Settled | (1) | (5) | ||
Basis Swaps [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative Instrument, Gain (Loss) on Derivatives, Unsettled | 60 | (1) | (43) | (4) |
Derivative Instrument, Gain (Loss) on Derivatives, Settled | (29) | (30) | 4 | |
Call Options [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative Instrument, Gain (Loss) on Derivatives, Unsettled | 11 | $ (25) | 53 | (75) |
Derivative Instrument, Gain (Loss) on Derivatives, Settled | $ (6) | |||
Interest Rate Swaps [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative Instrument, Gain (Loss) on Derivatives, Unsettled | $ (1) | (3) | ||
Derivative Instrument, Gain (Loss) on Derivatives, Settled | $ (1) |
Reclassifications From Accumu47
Reclassifications From Accumulated Other Comprehensive Income (Loss) (Components Of Accumulated Other Comprehensive Income (Loss)) (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2017USD ($) | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Beginning balance, December 31, 2016 | $ (39) |
Other comprehensive income before reclassifications | |
Amounts reclassified from other comprehensive income | 1 |
Net current-period other comprehensive income | 1 |
Ending balance, June 30, 2017 | (38) |
Pension And Other Postretirement [Member] | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Beginning balance, December 31, 2016 | (19) |
Other comprehensive income before reclassifications | |
Amounts reclassified from other comprehensive income | 1 |
Net current-period other comprehensive income | 1 |
Ending balance, June 30, 2017 | (18) |
Foreign Currency [Member] | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Beginning balance, December 31, 2016 | (20) |
Other comprehensive income before reclassifications | |
Amounts reclassified from other comprehensive income | |
Net current-period other comprehensive income | |
Ending balance, June 30, 2017 | $ (20) |
Reclassifications From Accumu48
Reclassifications From Accumulated Other Comprehensive Income (Loss) (Amounts Reclassified From Accumulated Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
General and administrative expenses | $ 58 | $ 56 | $ 108 | $ 110 |
Provision for income taxes | (1) | |||
Net Income (Loss) | $ 284 | $ (593) | 635 | $ (1,725) |
Reclassification from Accumulated Other Comprehensive Income [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Net Income (Loss) | 1 | |||
Pension And Other Postretirement [Member] | Reclassification from Accumulated Other Comprehensive Income [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
General and administrative expenses | 1 | |||
Net Income (Loss) | $ 1 |
Fair Value Measurements (Carryi
Fair Value Measurements (Carrying Amount And Estimated Fair Values Of Financial Instruments) (Details) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | Dec. 31, 2016 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative instruments, net | $ (54) | $ (375) | |
Carrying Amount [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 1,111 | 1,423 | |
Senior notes | 2,890 | 3,166 | |
Derivative instruments, net | (54) | (375) | |
Fair Value [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 1,111 | 1,423 | |
Senior notes | 2,821 | 3,182 | |
Derivative instruments, net | $ (54) | $ (375) | |
Long-term Debt [Member] | Term Loan 1 due December 2020 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Maturity date, year and month | 2020-12 | 2018-11 | 2020-12 |
Accelerated maturity date, year and month if not amended, redeemed or refinanced | 2019-10 | ||
Long-term Debt [Member] | Term Loan 2 due December 2020 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Maturity date, year and month | 2020-12 | 2020-12 | |
Accelerated maturity date, year and month if not amended, redeemed or refinanced | 2019-10 | ||
Long-term Debt [Member] | 2020 Senior Notes [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Maturity date, year and month | 2020-01 | 2020-01 | |
Amount to be amended, redeemed or refinanced to avoid acceleration | $ 765 | $ 765 | |
Long-term Debt [Member] | Carrying Amount [Member] | Term Loan 1 due December 2020 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Loans | 327 | 327 | |
Long-term Debt [Member] | Carrying Amount [Member] | Term Loan 2 due December 2020 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Loans | 1,191 | 1,191 | |
Long-term Debt [Member] | Fair Value [Member] | Term Loan 1 due December 2020 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Loans | 327 | 327 | |
Long-term Debt [Member] | Fair Value [Member] | Term Loan 2 due December 2020 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Loans | 1,191 | $ 1,191 | |
Call Options - 2017 [Member] | Not Designated as Hedging Instrument [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Premium paid | $ 5 |
Fair Value Measurements (Summar
Fair Value Measurements (Summary Of Assets And Liabilities Measured At Fair Value On Recurring Basis) (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2017 | Dec. 31, 2016 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total | $ (54) | $ (375) |
Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total | (2) | (180) |
Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total | (52) | (195) |
Fixed Price Swaps [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 15 | 1 |
Derivative liabilities | (15) | (178) |
Fixed Price Swaps [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 15 | 1 |
Derivative liabilities | (15) | (178) |
Two-way Costless-collars [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 11 | 10 |
Derivative liabilities | (14) | (58) |
Two-way Costless-collars [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 11 | 10 |
Derivative liabilities | (14) | (58) |
Three-way Costless-collars [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 145 | 111 |
Derivative liabilities | (138) | (192) |
Three-way Costless-collars [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 145 | 111 |
Derivative liabilities | (138) | (192) |
Basis Swaps [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 7 | 33 |
Derivative liabilities | (35) | (18) |
Basis Swaps [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 7 | 33 |
Derivative liabilities | (35) | (18) |
Call Options [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 5 | |
Derivative liabilities | (33) | (81) |
Call Options [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 5 | |
Derivative liabilities | (33) | (81) |
Interest Rate Swaps [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative liabilities | (2) | (3) |
Interest Rate Swaps [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative liabilities | (2) | $ (3) |
Not Designated as Hedging Instrument [Member] | Interest Rate Swaps [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative liabilities | (2) | |
Not Designated as Hedging Instrument [Member] | Call Options - 2017 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Premium paid | $ 5 |
Fair Value Measurements (Reconc
Fair Value Measurements (Reconciliations For Change In Net Fair Value Of Derivative Assets And Liabilities Measured At Fair Value On A Recurring Basis Using Significant Unobservable Inputs (Level 3)) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Fair Value Measurements [Abstract] | ||||
Balance at beginning of period | $ (168) | $ (35) | $ (195) | $ 3 |
Included in earnings | 86 | (37) | 99 | (71) |
Settlements | 30 | (11) | 44 | (15) |
Balance at end of period | (52) | (83) | (52) | (83) |
Change in gains (losses) included in earnings relating to derivatives still held as of June 30 | $ 116 | $ (48) | $ 143 | $ (86) |
Debt (2016 Credit Facility - Na
Debt (2016 Credit Facility - Narrative) (Details) | 1 Months Ended | 6 Months Ended | 12 Months Ended | |||
Jun. 30, 2016USD ($) | Jun. 30, 2017USD ($) | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2016USD ($) | Dec. 31, 2013USD ($) | |
Debt Instrument [Line Items] | ||||||
Debt instrument | $ 4,408,000,000 | $ 4,684,000,000 | ||||
Long-term Debt [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument | 4,368,000,000 | 4,643,000,000 | ||||
Long-term Debt [Member] | 2013 Credit Facility [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Maximum borrowing capacity | $ 66,000,000 | $ 2,000,000,000 | ||||
Repayment of line of credit | 285,000,000 | |||||
Amount outstanding | 0 | |||||
Long-term Debt [Member] | 2016 Credit Facility [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Maximum borrowing capacity | 743,000,000 | |||||
Long-term Debt [Member] | 2013 & 2016 Credit Facilities [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Amount outstanding | 0 | |||||
Long-term Debt [Member] | Letter of Credit [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Amount outstanding | $ 326,000,000 | |||||
Revolving Credit Facility And Term Loan Facility [Member] | Long-term Debt [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Maximum borrowing capacity | $ 1,934,000,000 | |||||
Maturity date, year and month | 2020-12 | |||||
Incremental increase EBITDAX to interest expense ratio | 0.25 | |||||
Revolving Credit Facility And Term Loan Facility [Member] | Long-term Debt [Member] | Minimum [Member] | ||||||
Debt Instrument [Line Items] | ||||||
EBITDAX to interest expense ratio | 1 | |||||
Liquidity requirement | $ 300,000,000 | |||||
Anti-hoarding provision, required unrestricted cash | $ 100,000,000 | |||||
Collateral coverage ratio | 1.50 | |||||
Revolving Credit Facility And Term Loan Facility [Member] | Long-term Debt [Member] | Minimum [Member] | Scenario, Forecast [Member] | ||||||
Debt Instrument [Line Items] | ||||||
EBITDAX to interest expense ratio | 1.50 | 1.50 | ||||
Revolving Credit Facility And Term Loan Facility [Member] | Long-term Debt [Member] | Maximum [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Liquidity requirement | $ 500,000,000 | |||||
Revolving Credit Facility And Term Loan Facility [Member] | Long-term Debt [Member] | Eurodollar [Member] | Minimum [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Basis points | 1.75% | |||||
Revolving Credit Facility And Term Loan Facility [Member] | Long-term Debt [Member] | Eurodollar [Member] | Maximum [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Basis points | 2.50% | |||||
Revolving Credit Facility And Term Loan Facility [Member] | Long-term Debt [Member] | Base Rate [Member] | Minimum [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Basis points | 0.75% | |||||
Revolving Credit Facility And Term Loan Facility [Member] | Long-term Debt [Member] | Base Rate [Member] | Maximum [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Basis points | 1.50% | |||||
Revolving Credit Facility And Term Loan Facility [Member] | Long-term Debt [Member] | Over LIBOR [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Basis points | 2.50% | |||||
Term Loan 2 due December 2020 [Member] | Long-term Debt [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument | $ 1,191,000,000 | $ 1,191,000,000 | $ 1,191,000,000 | |||
Maturity date, year and month | 2020-12 | 2020-12 | ||||
Accelerated maturity date, year and month if not amended, redeemed or refinanced | 2019-10 | |||||
2020 Senior Notes [Member] | Long-term Debt [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Maturity date, year and month | 2020-01 | 2020-01 | ||||
Amount to be amended, redeemed or refinanced to avoid acceleration | $ 765,000,000 | $ 765,000,000 |
Debt (2013 Credit Facility - Na
Debt (2013 Credit Facility - Narrative) (Details) - USD ($) | 1 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2017 | Dec. 31, 2016 | Dec. 31, 2013 | |
Debt Instrument [Line Items] | ||||
Debt instrument | $ 4,408,000,000 | $ 4,684,000,000 | ||
Adjusted debt capital structure, percentage | 32.00% | |||
Long-term Debt [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument | $ 4,368,000,000 | 4,643,000,000 | ||
Long-term Debt [Member] | 2013 Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Maximum borrowing capacity | $ 66,000,000 | $ 2,000,000,000 | ||
Repayment of line of credit | 285,000,000 | |||
Credit facility, maturity date | Dec. 1, 2018 | |||
Amount outstanding | $ 0 | |||
Debt percentage of adjusted book capital structure covenant | 60.00% | |||
Long-term Debt [Member] | 2016 Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Maximum borrowing capacity | 743,000,000 | |||
Term Loan 2 due December 2020 [Member] | Long-term Debt [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument | $ 1,191,000,000 | $ 1,191,000,000 | $ 1,191,000,000 |
Debt (2015 Term Facility - Narr
Debt (2015 Term Facility - Narrative) (Details) $ in Millions | 1 Months Ended | 6 Months Ended | 12 Months Ended | |||
Sep. 30, 2016USD ($)a | Jul. 31, 2016USD ($) | Nov. 30, 2015USD ($) | Jun. 30, 2017USD ($) | Jun. 30, 2016 | Dec. 31, 2016USD ($) | |
Term Loan 1 due December 2020 [Member] | Long-term Debt [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Loans payable | $ 750 | |||||
Debt instrument, term | 3 years | |||||
Payments on long-term debt | $ 375 | |||||
Maturity date, year and month | 2020-12 | 2018-11 | 2020-12 | |||
Accelerated maturity date, year and month if not amended, redeemed or refinanced | 2019-10 | |||||
2020 Senior Notes [Member] | Long-term Debt [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Payments on long-term debt | $ 48 | |||||
Maturity date, year and month | 2020-01 | 2020-01 | ||||
Amount to be amended, redeemed or refinanced to avoid acceleration | $ 765 | $ 765 | ||||
Over LIBOR [Member] | Term Loan 1 due December 2020 [Member] | Long-term Debt [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Basis points | 2.50% | |||||
West Virginia [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Area of land sold | a | 55,000 |
Debt (Senior Notes - Narrative)
Debt (Senior Notes - Narrative) (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
May 31, 2017 | Mar. 31, 2017 | Jul. 31, 2016 | Jan. 31, 2015 | Jun. 30, 2017 | Jun. 30, 2017 | Dec. 31, 2016 | |
Debt Instrument [Line Items] | |||||||
Net loss on extinguishment of debt | $ (10) | $ (11) | |||||
Unamortized debt expense | 24 | 24 | $ 28 | ||||
Long-term Debt [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Net loss on extinguishment of debt | $ (10) | ||||||
Unamortized debt expense | $ 24 | $ 24 | $ 28 | ||||
Senior Notes [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Proceeds from issuance of debt | $ 2,200 | ||||||
Purchase of note principal | $ 700 | ||||||
Senior Notes [Member] | Over LIBOR [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Incremental increase in basis points resulting from downgrades | 0.25% | ||||||
Incremental decrease in basis points resulting from upgrades | 0.25% | ||||||
Increase in basis spread | 1.75% | ||||||
3.30% Senior Notes due January 2018 [Member] | Long-term Debt [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Senior notes | $ 350 | ||||||
Stated interest rate | 5.05% | 3.30% | 3.30% | ||||
Maturity date, year and month | 2018-01 | 2018-01 | |||||
Percentage of face amount, sold to public | 99.949% | ||||||
Unamortized debt expense | |||||||
Purchase of note principal | 38 | ||||||
Debt repurchased | 38 | ||||||
4.05% Senior Notes due January 2020 [Member] | Long-term Debt [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Senior notes | $ 850 | ||||||
Stated interest rate | 5.80% | 4.05% | 4.05% | 4.05% | 4.05% | ||
Maturity date, year and month | 2020-01 | 2020-01 | 2020-01 | ||||
Percentage of face amount, sold to public | 99.897% | ||||||
Unamortized debt expense | $ 3 | $ 3 | $ 5 | ||||
4.95% Senior Notes due January 2025 [Member] | Long-term Debt [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Senior notes | $ 1,000 | ||||||
Stated interest rate | 6.70% | 4.95% | 4.95% | 4.95% | 4.95% | ||
Maturity date, year and month | 2025-01 | 2025-01 | 2025-01 | ||||
Percentage of face amount, sold to public | 99.782% | ||||||
Unamortized debt expense | $ 6 | $ 6 | $ 7 | ||||
7.50% Senior Notes due February 2018 [Member] | Long-term Debt [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Stated interest rate | 7.50% | 7.50% | 7.50% | ||||
Maturity date, year and month | 2018-02 | 2018-02 | |||||
Net loss on extinguishment of debt | $ (1) | ||||||
Unamortized debt expense | |||||||
Purchase of note principal | 187 | ||||||
Debt repurchased | 187 | $ 25 | |||||
7.15% Senior Notes due June 2018 [Member] | Long-term Debt [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Stated interest rate | 7.15% | 7.15% | 7.15% | ||||
Maturity date, year and month | 2018-06 | 2018-06 | |||||
Unamortized debt expense | |||||||
Purchase of note principal | 26 | ||||||
Debt repurchased | $ 26 | ||||||
Maximum [Member] | 3.30% Senior Notes due January 2018 [Member] | Long-term Debt [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Stated interest rate | 5.30% | 5.30% | |||||
Maximum [Member] | 4.05% Senior Notes due January 2020 [Member] | Long-term Debt [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Stated interest rate | 6.05% | 6.05% | |||||
Maximum [Member] | 4.95% Senior Notes due January 2025 [Member] | Long-term Debt [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Stated interest rate | 6.95% | 6.95% |
Debt (Components Of Debt) (Deta
Debt (Components Of Debt) (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||||||
May 31, 2017 | Mar. 31, 2017 | Sep. 30, 2016 | Jul. 31, 2016 | Jan. 31, 2015 | Jun. 30, 2017 | Jun. 30, 2017 | Jun. 30, 2016 | Dec. 31, 2016 | Nov. 30, 2015 | |
Debt Instrument [Line Items] | ||||||||||
Debt Instrument | $ 4,408 | $ 4,408 | $ 4,684 | |||||||
Unamortized Issuance Expense | (24) | (24) | (28) | |||||||
Unamortized Debt Discount | (3) | (3) | (3) | |||||||
Total | 4,381 | 4,381 | 4,653 | |||||||
Net loss on extinguishment of debt | (10) | (11) | ||||||||
Short-term Debt [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt Instrument | 40 | 40 | 41 | |||||||
Unamortized Issuance Expense | ||||||||||
Unamortized Debt Discount | ||||||||||
Total | 40 | 40 | 41 | |||||||
Short-term Debt [Member] | 7.35% Senior Notes due October 2017 [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt Instrument | 15 | 15 | 15 | |||||||
Unamortized Issuance Expense | ||||||||||
Unamortized Debt Discount | ||||||||||
Total | $ 15 | $ 15 | $ 15 | |||||||
Stated interest rate | 7.35% | 7.35% | 7.35% | |||||||
Maturity date, year and month | 2017-10 | 2017-10 | ||||||||
Short-term Debt [Member] | 7.125% Senior Notes due October 2017 [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt Instrument | $ 25 | $ 25 | $ 25 | |||||||
Unamortized Issuance Expense | ||||||||||
Unamortized Debt Discount | ||||||||||
Total | $ 25 | $ 25 | $ 25 | |||||||
Stated interest rate | 7.125% | 7.125% | 7.125% | |||||||
Maturity date, year and month | 2017-10 | 2017-10 | ||||||||
Short-term Debt [Member] | 7.15% Senior Notes due June 2018 [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt Instrument | $ 1 | |||||||||
Unamortized Issuance Expense | ||||||||||
Unamortized Debt Discount | ||||||||||
Total | $ 1 | |||||||||
Stated interest rate | 7.15% | |||||||||
Maturity date, year and month | 2018-06 | |||||||||
Long-term Debt [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt Instrument | $ 4,368 | $ 4,368 | $ 4,643 | |||||||
Unamortized Issuance Expense | (24) | (24) | (28) | |||||||
Unamortized Debt Discount | (3) | (3) | (3) | |||||||
Total | 4,341 | 4,341 | 4,612 | |||||||
Net loss on extinguishment of debt | $ (10) | |||||||||
Long-term Debt [Member] | Term Loan 1 due December 2020 [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt Instrument | 327 | 327 | 327 | $ 750 | ||||||
Unamortized Issuance Expense | (2) | (2) | (2) | |||||||
Unamortized Debt Discount | ||||||||||
Total | 325 | $ 325 | $ 325 | |||||||
Variable interest rate | 3.69% | 3.22% | ||||||||
Maturity date, year and month | 2020-12 | 2018-11 | 2020-12 | |||||||
Payments on long-term debt | $ 375 | |||||||||
Accelerated maturity date, year and month if not amended, redeemed or refinanced | 2019-10 | |||||||||
Long-term Debt [Member] | Term Loan 2 due December 2020 [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt Instrument | 1,191 | $ 1,191 | $ 1,191 | $ 1,191 | ||||||
Unamortized Issuance Expense | (9) | (9) | (10) | |||||||
Unamortized Debt Discount | ||||||||||
Total | $ 1,182 | $ 1,182 | $ 1,181 | |||||||
Variable interest rate | 3.69% | 3.22% | ||||||||
Maturity date, year and month | 2020-12 | 2020-12 | ||||||||
Accelerated maturity date, year and month if not amended, redeemed or refinanced | 2019-10 | |||||||||
Long-term Debt [Member] | 3.30% Senior Notes due January 2018 [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt Instrument | $ 38 | |||||||||
Unamortized Issuance Expense | ||||||||||
Unamortized Debt Discount | ||||||||||
Total | $ 38 | |||||||||
Stated interest rate | 5.05% | 3.30% | 3.30% | |||||||
Maturity date, year and month | 2018-01 | 2018-01 | ||||||||
Debt repurchased | 38 | |||||||||
Purchase of note principal | 38 | |||||||||
Long-term Debt [Member] | 7.50% Senior Notes due February 2018 [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt Instrument | $ 212 | |||||||||
Unamortized Issuance Expense | ||||||||||
Unamortized Debt Discount | ||||||||||
Total | $ 212 | |||||||||
Stated interest rate | 7.50% | 7.50% | 7.50% | |||||||
Maturity date, year and month | 2018-02 | 2018-02 | ||||||||
Debt repurchased | 187 | $ 25 | ||||||||
Purchase of note principal | 187 | |||||||||
Net loss on extinguishment of debt | $ (1) | |||||||||
Long-term Debt [Member] | 7.15% Senior Notes due June 2018 [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt Instrument | $ 25 | |||||||||
Unamortized Issuance Expense | ||||||||||
Unamortized Debt Discount | ||||||||||
Total | $ 25 | |||||||||
Stated interest rate | 7.15% | 7.15% | 7.15% | |||||||
Maturity date, year and month | 2018-06 | 2018-06 | ||||||||
Debt repurchased | 26 | |||||||||
Purchase of note principal | $ 26 | |||||||||
Long-term Debt [Member] | 4.05% Senior Notes due January 2020 [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt Instrument | $ 850 | $ 850 | $ 850 | |||||||
Unamortized Issuance Expense | (3) | (3) | (5) | |||||||
Unamortized Debt Discount | ||||||||||
Total | $ 847 | $ 847 | $ 845 | |||||||
Stated interest rate | 5.80% | 4.05% | 4.05% | 4.05% | 4.05% | |||||
Maturity date, year and month | 2020-01 | 2020-01 | 2020-01 | |||||||
Long-term Debt [Member] | 4.10% Senior Notes due March 2022 [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt Instrument | $ 1,000 | $ 1,000 | $ 1,000 | |||||||
Unamortized Issuance Expense | (4) | (4) | (4) | |||||||
Unamortized Debt Discount | (1) | (1) | (1) | |||||||
Total | $ 995 | $ 995 | $ 995 | |||||||
Stated interest rate | 4.10% | 4.10% | 4.10% | |||||||
Maturity date, year and month | 2022-03 | 2022-03 | ||||||||
Long-term Debt [Member] | 4.95% Senior Notes due January 2025 [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt Instrument | $ 1,000 | $ 1,000 | $ 1,000 | |||||||
Unamortized Issuance Expense | (6) | (6) | (7) | |||||||
Unamortized Debt Discount | (2) | (2) | (2) | |||||||
Total | $ 992 | $ 992 | $ 991 | |||||||
Stated interest rate | 6.70% | 4.95% | 4.95% | 4.95% | 4.95% | |||||
Maturity date, year and month | 2025-01 | 2025-01 | 2025-01 | |||||||
Long-term Debt [Member] | 2020 Senior Notes [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Maturity date, year and month | 2020-01 | 2020-01 | ||||||||
Payments on long-term debt | $ 48 | |||||||||
Amount to be amended, redeemed or refinanced to avoid acceleration | $ 765 | $ 765 | ||||||||
Senior Notes [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Purchase of note principal | $ 700 | |||||||||
Over LIBOR [Member] | Senior Notes [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Increase in basis spread | 1.75% |
Commitments And Contingencies57
Commitments And Contingencies (Narrative) (Details) | 6 Months Ended |
Jun. 30, 2017USD ($)plaintiffitem | |
Commitments And Contingencies [Line Items] | |
Obligation under transportation agreements | $ 8,552,000,000 |
Guarantee obligations relative to the firms transportation agreements and gathering project and services | 822,000,000 |
Indemnification liability | $ 0 |
Arkansas Royalty Litigation [Member] | Arkansas State Court [Member] | |
Commitments And Contingencies [Line Items] | |
Number of actions | item | 2 |
Number of cases | item | 3 |
Number of plaintiffs | plaintiff | 248 |
Number of cases removed to federal court | item | 2 |
Pending Regulatory Approval and/or Construction [Member] | |
Commitments And Contingencies [Line Items] | |
Obligation under transportation agreements | $ 3,608,000,000 |
Commitments And Contingencies58
Commitments And Contingencies (Schedule Of Future Obligation Under Transportation Agreements) (Details) $ in Millions | Jun. 30, 2017USD ($) |
Other Commitments [Line Items] | |
Less than 1 year | $ 626 |
1 to 3 years | 1,526 |
3 to 5 years | 1,230 |
5 to 8 years | 1,557 |
More than 8 years | 3,613 |
Total transportation charges | 8,552 |
Infrastructure Currently in Service [Member] | |
Other Commitments [Line Items] | |
Less than 1 year | 580 |
1 to 3 years | 1,128 |
3 to 5 years | 766 |
5 to 8 years | 843 |
More than 8 years | 1,627 |
Total transportation charges | 4,944 |
Pending Regulatory Approval and/or Construction [Member] | |
Other Commitments [Line Items] | |
Less than 1 year | 46 |
1 to 3 years | 398 |
3 to 5 years | 464 |
5 to 8 years | 714 |
More than 8 years | 1,986 |
Total transportation charges | $ 3,608 |
Pension Plan And Other Postre59
Pension Plan And Other Postretirement Benefits (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | Dec. 31, 2016 | Mar. 31, 2016 | |
Defined Benefit Plan Disclosure [Line Items] | ||||||
Employer contributions | $ 8 | |||||
Company's expected additional annual contribution | $ 6 | $ 6 | ||||
Common Stock in Treasury, Shares | 31,269 | 31,269 | 31,269 | |||
Pension Benefits [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Non-cash curtailment gain (loss) | $ (1) | $ (1) | ||||
Settlement loss | (8) | (8) | ||||
Net periodic benefit cost (gain) | $ 2 | 12 | $ 5 | 16 | ||
Curtailment gain (loss) | $ (1) | $ (1) | ||||
Benefit obligation | 33 | 33 | $ 36 | |||
Discount rate | 4.20% | 4.20% | 4.60% | |||
Other Postretirement Benefits [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Non-cash curtailment gain (loss) | $ 6 | $ 6 | ||||
Net periodic benefit cost (gain) | 6 | 1 | (5) | |||
Curtailment gain (loss) | $ 6 | $ 6 | ||||
Benefit obligation | $ 14 | $ 14 | $ 13 | |||
Discount rate | 4.20% | 4.20% | 4.60% | |||
Supplemental Employee Retirement Plan [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Common stock purchased under the terms of the Non-Qualified Plan presented as treasury stock | 11,686 | 31,269 |
Pension Plan And Other Postre60
Pension Plan And Other Postretirement Benefits (Pension And Other Postretirement Benefit Costs) (Details) - Pension Benefits [Member] - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | $ 3 | $ 2 | $ 5 | $ 6 |
Interest cost | 1 | 1 | 2 | 3 |
Expected return on plan assets | (2) | (1) | (3) | (3) |
Amortization of prior service cost | ||||
Amortization of net loss | 1 | 1 | 1 | |
Curtailment loss | 1 | 1 | ||
Settlement loss | 8 | 8 | ||
Net periodic benefit cost | $ 2 | $ 12 | $ 5 | $ 16 |
Stock-Based Compensation (Narra
Stock-Based Compensation (Narrative) (Details) - USD ($) $ in Millions | 1 Months Ended | 6 Months Ended |
Jan. 31, 2016 | Jun. 30, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Unrecognized compensation cost related to the Company's unvested stock option grants, restricted stock grants, and performance units | $ 78 | |
Weighted average period over which cost is recognized, years | 3 years | |
Stock Options [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock options, exercised, number of options | ||
Liability-Classified Performance Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vesting period for stock awards from grant date | 3 years | |
Workforce Reduction [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Positions eliminated, percent | 40.00% |
Stock-Based Compensation (Sched
Stock-Based Compensation (Schedule Of Stock-Based Compensation Costs) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Stock-based compensation cost - expensed | $ 6 | $ 14 | $ 12 | $ 37 |
Stock-based compensation cost - capitalized | $ 4 | 2 | $ 8 | 5 |
Workforce Reduction [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Stock-based compensation cost - expensed | 2 | 16 | ||
Executive Management [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Stock-based compensation cost - expensed | $ 3 | $ 3 |
Stock-Based Compensation (Summa
Stock-Based Compensation (Summary Of Stock Option Activity) (Details) - Stock Options [Member] shares in Thousands | 6 Months Ended |
Jun. 30, 2017$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock options, Outstanding at December 31, 2016, Number of Options | shares | 5,416 |
Stock options, Granted, Number of Options | shares | 1,322 |
Stock options, Exercised, Number of Options | shares | |
Stock options, Forfeited or expired, Number of Options | shares | (454) |
Stock options, Outstanding at June 30, 2017, Number of Options | shares | 6,284 |
Stock options, Exercisable at June 30, 2017, Number of Options | shares | 3,582 |
Stock options, Outstanding at December 31, 2016, Weighted Average Exercise Price | $ / shares | $ 23.46 |
Stock options, Granted, Weighted Average Exercise Price | $ / shares | 8.59 |
Stock options, Exercised, Weighted Average Exercise Price | $ / shares | |
Stock options, Forfeited or expired, Weighted Average Exercise Price | $ / shares | 12.99 |
Stock options, Outstanding at June 30, 2017, Weighted Average Exercise Price | $ / shares | 21.09 |
Stock options, Exercisable at June 30, 2017, Weighted Average Exercise Price | $ / shares | $ 29.21 |
Stock-Based Compensation (Sum64
Stock-Based Compensation (Summary Of Restricted Stock Activity) (Details) - Restricted Stock [Member] shares in Thousands | 6 Months Ended |
Jun. 30, 2017$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Unvested shares/units at December 31, 2016, Number of Shares | shares | 3,321 |
Granted, Number of Shares/Units | shares | 4,903 |
Vested, Number of Shares/Units | shares | (147) |
Forfeited, Number of Shares/Units | shares | (416) |
Unvested shares/units at June 30, 2017, Number of Shares | shares | 7,661 |
Unvested shares/units at December 31, 2016, Weighted Average Fair Value | $ / shares | $ 11.85 |
Granted, Weighted Average Fair Value | $ / shares | 8.48 |
Vested, Weighted Average Fair Value | $ / shares | 11.44 |
Forfeited, Weighted Average Fair Value | $ / shares | 10.29 |
Unvested shares at June 30, 2017, Weighted Average Fair Value | $ / shares | $ 9.79 |
Stock-Based Compensation (Sum65
Stock-Based Compensation (Summary Of Performance Unit Activity) (Details) - Performance Units [Member] | 6 Months Ended |
Jun. 30, 2017$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Unvested shares/units at December 31, 2016, Number of Shares | 719,000 |
Granted, Number of Shares/Units | 1,197,000 |
Vested, Number of Shares/Units | (2,000) |
Forfeited, Number of Shares/Units | (332,000) |
Unvested shares/units at June 30, 2017, Number of Shares | 1,582,000 |
Unvested shares/units at December 31, 2016, Weighted Average Fair Value | $ / shares | $ 11.46 |
Granted, Weighted Average Fair Value | $ / shares | 10.47 |
Vested, Weighted Average Fair Value | $ / shares | 13.88 |
Forfeited, Weighted Average Fair Value | $ / shares | 10.93 |
Unvested shares at June 30, 2017, Weighted Average Fair Value | $ / shares | $ 10.82 |
Vesting period for stock awards from grant date | 3 years |
Minimum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Granted, Number of Shares/Units | 0 |
Maximum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Granted, Number of Shares/Units | 2 |
Segment Information (Details)
Segment Information (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||||
Jun. 30, 2017 | Jun. 30, 2016 | Mar. 31, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | |
Segment Reporting Information [Line Items] | |||||||
Revenues | $ 811 | $ 522 | $ 1,657 | $ 1,101 | |||
Depreciation, depletion and amortization expense | 123 | 107 | 229 | 250 | |||
Impairment of natural gas and oil properties | 470 | $ 1,034 | 1,504 | ||||
Operating income (loss) | 188 | (492) | 454 | (1,592) | |||
Interest expense | 34 | 17 | 66 | 31 | |||
Gain (loss) on derivatives | 134 | (85) | 250 | (99) | |||
Loss on Early Extinguishment of Debt | (10) | (11) | |||||
Other income (loss), net | 6 | 8 | (3) | ||||
Provision (benefit) for income taxes | (1) | ||||||
Assets | 7,150 | 7,377 | 7,150 | 7,377 | $ 7,076 | ||
Capital investments | 325 | 74 | 615 | 196 | |||
Restructuring charges | 11 | 75 | |||||
Cash and cash equivalents | 1,111 | 998 | 1,111 | 998 | $ 1,423 | $ 15 | |
Change in accrued expenditures | 41 | 27 | (11) | (51) | |||
Intersegment Eliminations [Member] | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenues | (537) | (321) | (1,112) | (699) | |||
Exploration and Production [Member] | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenues | 531 | 291 | 1,097 | 634 | |||
Depreciation, depletion and amortization expense | 107 | 90 | 197 | 217 | |||
Impairment of natural gas and oil properties | 470 | 1,504 | |||||
Operating income (loss) | 146 | (549) | 371 | (1,709) | |||
Interest expense | 34 | 16 | 66 | 30 | |||
Gain (loss) on derivatives | 134 | (85) | 250 | (98) | |||
Other income (loss), net | 2 | 3 | 4 | 1 | |||
Provision (benefit) for income taxes | (1) | ||||||
Assets | 4,633 | 5,000 | 4,633 | 5,000 | |||
Capital investments | 318 | 73 | 601 | 193 | |||
Restructuring charges | 11 | 72 | |||||
Exploration and Production [Member] | Intersegment Eliminations [Member] | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenues | 5 | 7 | 8 | 14 | |||
Midstream Services [Member] | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenues | 280 | 231 | 560 | 467 | |||
Depreciation, depletion and amortization expense | 16 | 17 | 32 | 33 | |||
Operating income (loss) | 42 | 57 | 83 | 117 | |||
Interest expense | 1 | 1 | |||||
Gain (loss) on derivatives | (1) | ||||||
Other income (loss), net | 4 | (2) | 4 | (3) | |||
Assets | 1,281 | 1,227 | 1,281 | 1,227 | |||
Capital investments | 6 | 12 | 2 | ||||
Restructuring charges | 3 | ||||||
Midstream Services [Member] | Intersegment Eliminations [Member] | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenues | (542) | (328) | (1,120) | (713) | |||
Other [Member] | |||||||
Segment Reporting Information [Line Items] | |||||||
Loss on Early Extinguishment of Debt | (10) | (11) | |||||
Other income (loss), net | (1) | (1) | |||||
Assets | 1,236 | 1,150 | 1,236 | 1,150 | |||
Capital investments | 1 | 1 | 2 | 1 | |||
Cash and cash equivalents | 1,100 | 998 | 1,100 | 998 | |||
Marketing [Member] | Midstream Services [Member] | Intersegment Eliminations [Member] | |||||||
Segment Reporting Information [Line Items] | |||||||
Revenues | $ (490) | $ (267) | $ (1,014) | $ (586) |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Income Taxes [Abstract] | ||||
Effective tax rate | 0.00% | 0.00% | ||
Increase (decrease) in valuation allowance | $ (107) | $ 216 | $ (182) | $ 647 |
New Accounting Pronouncements (
New Accounting Pronouncements (Narrative) (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2017USD ($) | |
New Accounting Pronouncements [Abstract] | |
Net cumulative-effect adjustment | $ 59 |