Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Sep. 30, 2014 | Oct. 20, 2014 | |
Document and Entity Information | ' | ' |
Entity Registrant Name | 'CABOT OIL & GAS CORP | ' |
Entity Central Index Key | '0000858470 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Document Type | '10-Q | ' |
Document Period End Date | 30-Sep-14 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Amendment Flag | 'false | ' |
Entity Common Stock, Shares Outstanding | ' | 413,019,880 |
Entity Current Reporting Status | 'Yes | ' |
CONDENSED_CONSOLIDATED_BALANCE
CONDENSED CONSOLIDATED BALANCE SHEET (Unaudited) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current assets | ' | ' |
Cash and cash equivalents | $309,987 | $23,400 |
Restricted cash | 0 | 28,094 |
Accounts receivable, net | 191,270 | 222,476 |
Inventories | 13,731 | 17,468 |
Deferred income taxes | 53,725 | 81,855 |
Other current assets | 19,233 | 5,606 |
Total current assets | 587,946 | 378,899 |
Properties and equipment, net (Successful efforts method) | 5,130,213 | 4,546,227 |
Equity method investments | 57,495 | 26,892 |
Other assets | 31,610 | 29,062 |
TOTAL ASSETS | 5,807,264 | 4,981,080 |
Current liabilities | ' | ' |
Accounts payable | 379,787 | 288,801 |
Accrued liabilities | 44,843 | 87,513 |
Income taxes payable | 8,161 | 31,591 |
Total current liabilities | 432,791 | 407,905 |
Postretirement benefits | 35,936 | 33,554 |
Long-term debt | 1,612,000 | 1,147,000 |
Deferred income taxes | 1,208,036 | 1,067,912 |
Asset retirement obligation | 114,241 | 73,853 |
Other liabilities | 37,789 | 46,254 |
Total liabilities | 3,440,793 | 2,776,478 |
Commitments and contingencies | ' | ' |
Stockholders’ equity | ' | ' |
Common stock: Authorized -- 960,000,000 and 480,000,000 shares of $0.10 par value in 2014 and 2013, respectively Issued--422,912,560 and 422,014,681 shares in 2014 and 2013, respectively | 42,291 | 42,201 |
Additional paid-in capital | 713,087 | 710,940 |
Retained earnings | 1,929,026 | 1,627,805 |
Accumulated other comprehensive income (loss) | -19,199 | -8,361 |
Less treasury stock, at cost: 9,638,980 and 5,618,166 shares in 2014 and 2013, respectively | -298,734 | -167,983 |
Total stockholders’ equity | 2,366,471 | 2,204,602 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $5,807,264 | $4,981,080 |
CONDENSED_CONSOLIDATED_BALANCE1
CONDENSED CONSOLIDATED BALANCE SHEET (Unaudited) (Parenthetical) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
Statement of Financial Position [Abstract] | ' | ' |
Common stock, authorized shares | 960,000,000 | 480,000,000 |
Common stock, par value (in dollars per share) | $0.10 | $0.10 |
Common stock, Issued shares | 422,912,560 | 422,014,681 |
Treasury stock, shares | 9,638,980 | 5,618,166 |
CONDENSED_CONSOLIDATED_STATEME
CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS (Unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
OPERATING REVENUES | ' | ' | ' | ' |
Natural gas | $347,970 | $341,901 | $1,218,540 | $1,004,085 |
Crude oil and condensate | 82,563 | 84,209 | 228,047 | 220,090 |
Gain (loss) on derivative instruments | 71,906 | 0 | 69,577 | 0 |
Brokered natural gas | 6,501 | 7,165 | 27,794 | 26,302 |
Other | 3,077 | 2,575 | 11,049 | 8,338 |
TOTAL OPERATING REVENUES | 512,017 | 435,850 | 1,555,007 | 1,258,815 |
OPERATING EXPENSES | ' | ' | ' | ' |
Direct operations | 37,802 | 32,923 | 109,241 | 101,398 |
Transportation and gathering | 85,966 | 60,803 | 247,707 | 159,672 |
Brokered natural gas | 5,680 | 5,913 | 24,570 | 21,006 |
Taxes other than income | 10,933 | 11,532 | 36,794 | 34,583 |
Exploration | 8,812 | 3,891 | 19,963 | 12,444 |
Depreciation, depletion and amortization | 154,013 | 168,980 | 458,995 | 469,022 |
General and administrative | 19,579 | 24,697 | 61,342 | 82,009 |
TOTAL OPERATING EXPENSES | 322,785 | 308,739 | 958,612 | 880,134 |
Earnings (loss) on equity method investments | 1,063 | 278 | 1,819 | 614 |
Gain (loss) on sale of assets | 46 | 4,421 | -2,735 | 4,601 |
INCOME FROM OPERATIONS | 190,341 | 131,810 | 595,479 | 383,896 |
Interest expense | 17,422 | 16,074 | 50,312 | 49,366 |
Income before income taxes | 172,919 | 115,736 | 545,167 | 334,530 |
Income tax expense | 72,131 | 45,847 | 218,928 | 132,703 |
NET INCOME | $100,788 | $69,889 | $326,239 | $201,827 |
Earnings per share | ' | ' | ' | ' |
Basic (in dollars per share) | $0.24 | $0.17 | $0.78 | $0.48 |
Diluted (in dollars per share) | $0.24 | $0.17 | $0.78 | $0.48 |
Weighted-average common shares outstanding | ' | ' | ' | ' |
Basic (in shares) | 416,173 | 420,986 | 416,785 | 420,664 |
Diluted (in shares) | 418,093 | 423,453 | 418,468 | 422,824 |
Dividends per common share (in dollars per share) | $0.02 | $0.02 | $0.06 | $0.04 |
CONDENSED_CONSOLIDATED_STATEME1
CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (Unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | ||||
Statement of Comprehensive Income [Abstract] | ' | ' | ' | ' | ||||
Net income | $100,788 | $69,889 | $326,239 | $201,827 | ||||
Other comprehensive income (loss), net of taxes: | ' | ' | ' | ' | ||||
Reclassification adjustment for settled cash flow hedge contracts(1) | 12,965 | [1] | -11,942 | [1] | 69,337 | [1] | -22,372 | [1] |
Changes in fair value of cash flow hedge contracts(2) | 0 | [2] | -1,447 | [2] | -80,175 | [2] | 31,417 | [2] |
Postretirement benefits: | ' | ' | ' | ' | ||||
Amortization of net loss(3) | 0 | [3] | 70 | [3] | 0 | [3] | 319 | [3] |
Total other comprehensive income (loss) | 12,965 | -13,319 | -10,838 | 9,364 | ||||
Comprehensive income (loss) | $113,753 | $56,570 | $315,401 | $211,191 | ||||
[1] | Net of income taxes of $(8,592) and $7,742 for the three months ended September 30, 2014 and 2013, respectively, and $(45,951) and $14,504 for the nine months ended September 30, 2014 and 2013, respectively. | |||||||
[2] | Net of income taxes of $937 for the three months ended September 30, 2013 and $53,135 and $(20,366) for the nine months ended September 30, 2014 and 2013, respectively. | |||||||
[3] | Net of income taxes of $(46) and $(206) for the three and nine months ended September 30, 2013, respectively. |
CONDENSED_CONSOLIDATED_STATEME2
CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (Unaudited) (Parenthetical) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Statement of Comprehensive Income [Abstract] | ' | ' | ' | ' |
Reclassification adjustment for settled cash flow hedge contracts, income taxes | ($8,592) | $7,742 | ($45,951) | $14,504 |
Changes in fair value of cash flow hedge contracts, income taxes | ' | 937 | 53,135 | -20,366 |
Pension and postretirement benefits: | ' | ' | ' | ' |
Amortization of net loss, income taxes | ' | ($46) | ' | ($206) |
CONDENSED_CONSOLIDATED_STATEME3
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS (Unaudited) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
CASH FLOWS FROM OPERATING ACTIVITIES | ' | ' |
Net income | $326,239 | $201,827 |
Adjustments to reconcile net income to cash provided by operating activities: | ' | ' |
Depreciation, depletion and amortization | 458,995 | 469,022 |
Deferred income tax expense | 181,439 | 107,235 |
(Gain) loss on sale of assets | 2,735 | -4,601 |
Exploration expense | 6,454 | 807 |
Unrealized (gain) loss on derivative instruments | -44,766 | 0 |
Amortization of debt issuance costs | 3,378 | 2,767 |
Stock-based compensation and other | 13,304 | 36,684 |
Changes in assets and liabilities: | ' | ' |
Accounts receivable, net | 30,418 | -6,321 |
Income taxes | -23,430 | -3,639 |
Inventories | 3,737 | -6,665 |
Other current assets | -147 | -1,547 |
Accounts payable and accrued liabilities | -9,712 | -19,837 |
Other assets and liabilities | 607 | 228 |
Stock-based compensation tax benefit | -6,001 | -9,284 |
Net cash provided by operating activities | 943,250 | 766,676 |
CASH FLOWS FROM INVESTING ACTIVITIES | ' | ' |
Capital expenditures | -964,741 | -843,400 |
Acquisitions | -15,826 | -128 |
Proceeds from sale of assets | 3,913 | 15,174 |
Restricted cash | 28,094 | 0 |
Investment in equity method investments | -28,784 | -8,624 |
Net cash used in investing activities | -977,344 | -836,978 |
CASH FLOWS FROM FINANCING ACTIVITIES | ' | ' |
Borrowings from debt | 1,802,000 | 585,000 |
Repayments of debt | -1,337,000 | -510,000 |
Treasury stock repurchases | -119,767 | 0 |
Dividends paid | -25,018 | -16,830 |
Stock-based compensation tax benefit | 6,001 | 9,284 |
Capitalized debt issuance costs | -5,626 | 0 |
Other | 91 | 44 |
Net cash provided by financing activities | 320,681 | 67,498 |
Net increase (decrease) in cash and cash equivalents | 286,587 | -2,804 |
Cash and cash equivalents, beginning of period | 23,400 | 30,736 |
Cash and cash equivalents, end of period | $309,987 | $27,932 |
Financial_Statement_Presentati
Financial Statement Presentation | 9 Months Ended |
Sep. 30, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Financial Statement Presentation | ' |
Financial Statement Presentation | |
During interim periods, Cabot Oil & Gas Corporation (the Company) follows the same accounting policies disclosed in its Annual Report on Form 10-K for the year ended December 31, 2013 (Form 10-K) filed with the Securities and Exchange Commission (SEC). The interim financial statements should be read in conjunction with the notes to the consolidated financial statements and information presented in the Form 10-K. In management’s opinion, the accompanying interim condensed consolidated financial statements contain all material adjustments, consisting only of normal recurring adjustments, necessary for a fair statement. The results for any interim period are not necessarily indicative of the expected results for the entire year. | |
Certain reclassifications have been made to prior year statements to conform with the current year presentation. These reclassifications have no impact on previously reported net income. | |
With respect to the unaudited financial information of the Company as of September 30, 2014 and for the three and nine months ended September 30, 2014 and 2013, PricewaterhouseCoopers LLP reported that they have applied limited procedures in accordance with professional standards for a review of such information. However, their separate report dated October 24, 2014 appearing herein states that they did not audit and they do not express an opinion on that unaudited financial information. Accordingly, the degree of reliance on their report on such information should be restricted in light of the limited nature of the review procedures applied. PricewaterhouseCoopers LLP is not subject to the liability provisions of Section 11 of the Securities Act of 1933 for their report on the unaudited financial information because that report is not a “report” or a “part” of a registration statement prepared or certified by PricewaterhouseCoopers LLP within the meaning of Sections 7 and 11 of the Act. | |
Recent Accounting Pronouncements | |
In April 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2014-08, Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity. The guidance applies prospectively to new disposals and new classifications of disposal groups as held for sale after the effective date. The guidance is effective for interim and annual periods beginning on or after December 15, 2014. The Company does not expect the adoption of this guidance to have a material impact on its financial position, results of operations or cash flows. | |
In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers, as a new Topic, Accounting Standards Codification Topic 606. The new revenue recognition standard provides a five-step analysis of transactions to determine when and how revenue is recognized. The core principle of the guidance is that a company should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This ASU is effective beginning in fiscal year 2017 and can be adopted either retrospectively or as a cumulative-effect adjustment as of the date of adoption. The Company is currently evaluating the effect that adopting this guidance will have on its financial position, results of operations or cash flows. | |
In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements - Going Concern, as a new Sub-topic, Accounting Standards Codification Sub-topic 205.40. The new going concern standard codifies in generally accepted accounting principles (GAAP) management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern and to provide related footnote disclosures. This ASU is effective for interim and annual periods beginning on or after December 15, 2016 and early adoption is permitted. The Company does not expect the adoption of this guidance to have a material impact on its financial position or results of operations. |
Properties_and_Equipment_Net
Properties and Equipment, Net | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Property, Plant and Equipment [Abstract] | ' | ||||||||
Properties and Equipment, Net | ' | ||||||||
Properties and Equipment, Net | |||||||||
Properties and equipment, net are comprised of the following: | |||||||||
(In thousands) | September 30, | December 31, | |||||||
2014 | 2013 | ||||||||
Proved oil and gas properties | $ | 7,405,851 | $ | 6,362,570 | |||||
Unproved oil and gas properties | 354,882 | 375,428 | |||||||
Gathering and pipeline systems | 240,705 | 239,958 | |||||||
Land, buildings and other equipment | 105,143 | 94,243 | |||||||
8,106,581 | 7,072,199 | ||||||||
Accumulated depreciation, depletion and amortization | (2,976,368 | ) | (2,525,972 | ) | |||||
$ | 5,130,213 | $ | 4,546,227 | ||||||
At September 30, 2014, the Company did not have any projects that had exploratory well costs that were capitalized for a period of greater than one year after drilling. | |||||||||
Subsequent Events | |||||||||
Acquisitions | |||||||||
In October 2014, the Company completed the acquisition of certain proved and unproved oil and gas properties in the Eagle Ford Shale in south Texas for approximately $210.0 million. Total cash consideration paid by the Company as of the closing date was approximately $186.2 million, subject to customary post-closing adjustments, which reflects the impact of customary purchase price adjustments and an adjustment for consents that the seller was unable to obtain for certain leaseholds prior to closing. | |||||||||
Divestitures | |||||||||
In October 2014, the Company completed the divestiture of certain proved and unproved oil and gas properties in east Texas to a third party for approximately $44.3 million. Total cash consideration received by the Company as of the closing date was approximately $39.9 million, subject to customary post-closing adjustments, which reflects the impact of customary purchase price adjustments. The net book value associated with the oil and gas properties held for sale as of September 30, 2014 was approximately $21.5 million and is included in properties and equipment, net in the Condensed Consolidated Balance Sheet. |
Equity_Method_Investments
Equity Method Investments | 9 Months Ended |
Sep. 30, 2014 | |
Equity Method Investments and Joint Ventures [Abstract] | ' |
Equity Method Investments | ' |
Equity Method Investments | |
During the nine months ended September 30, 2014, the Company made contributions of approximately $28.8 million to its equity method investments ($26.6 million to Constitution Pipeline Company, LLC and $2.2 million to Meade Pipeline Co LLC (Meade)). | |
For further information regarding the Company’s equity method investments, refer to Note 4 of the Notes to the Consolidated Financial Statements in the Form 10-K. | |
Meade Pipeline Co LLC | |
In February 2014, the Company acquired a 20% equity interest in Meade. Meade was formed to participate in the development and construction of a 177-mile pipeline (Central Penn Line) that will transport natural gas from Susquehanna County, Pennsylvania to an interconnect with Transcontinental Gas Pipe Line Company, LLC’s (Transco) mainline in Lancaster County, Pennsylvania. The new pipeline will be constructed and operated by Transco and will be owned by Transco and Meade in proportion to their respective ownership percentages of approximately 61% and 39%, respectively. Under the terms of the Meade LLC agreement, the Company agreed to invest its proportionate share of Meade’s anticipated costs associated with the new pipeline of $149 million, which is expected to occur over the next three to four years. The expected in-service date for the new pipeline is scheduled for the second half of 2017. |
Debt_and_Credit_Agreements
Debt and Credit Agreements | 9 Months Ended | |||||||||
Sep. 30, 2014 | ||||||||||
Debt Disclosure [Abstract] | ' | |||||||||
Debt and Credit Agreements | ' | |||||||||
Debt and Credit Agreements | ||||||||||
The Company’s debt and credit agreements consisted of the following: | ||||||||||
(In thousands) | September 30, | December 31, | ||||||||
2014 | 2013 | |||||||||
Long-Term Debt | ||||||||||
7.33% weighted-average fixed rate notes | $ | 20,000 | $ | 20,000 | ||||||
6.51% weighted-average fixed rate notes | 425,000 | 425,000 | ||||||||
9.78% notes | 67,000 | 67,000 | ||||||||
5.58% weighted-average fixed rate notes | 175,000 | 175,000 | ||||||||
3.65% weighted-average fixed rate notes | 925,000 | — | ||||||||
Revolving credit facility | — | 460,000 | ||||||||
$ | 1,612,000 | $ | 1,147,000 | |||||||
Effective April 15, 2014, the lenders under the Company’s revolving credit facility approved an increase in the Company’s borrowing base from $2.3 billion to $3.1 billion as part of the annual redetermination under the terms of the revolving credit facility agreement. The commitments under the revolving credit facility remain unchanged at $1.4 billion. At September 30, 2014, the Company had no borrowings outstanding under its revolving credit facility and had $1.4 billion available for future borrowings. The Company’s weighted-average effective interest rate for the three months ended September 30, 2014 and 2013 was approximately 2.2% and for the nine months ended September 30, 2014 and 2013 was approximately 2.2% and 2.3%, respectively. | ||||||||||
The Company was in compliance with all restrictive financial covenants for both the revolving credit facility and fixed rate notes as of September 30, 2014. | ||||||||||
3.65% Weighted-Average Fixed Rate Notes | ||||||||||
In September 2014, the Company issued $925 million principal amount of senior unsecured fixed-rate notes to a group of 24 investors in a private placement. The notes have bullet maturities and were issued in three separate tranches as follows: | ||||||||||
Principal | Term | Maturity Date | Coupon | |||||||
Tranche 1 | $100,000,000 | 7 years | Sep-21 | 3.24 | % | |||||
Tranche 2 | $575,000,000 | 10 years | Sep-24 | 3.67 | % | |||||
Tranche 3 | $250,000,000 | 12 years | Sep-26 | 3.77 | % | |||||
Interest on each series of the 3.65% weighted‑average fixed rate notes is payable semi‑annually. The Company may prepay all or any portion of the notes of each series on any date at a price equal to the principal amount thereof plus accrued and unpaid interest plus a make‑whole premium. The notes contain restrictions on the merger of the Company or any subsidiary with a third party other than under certain limited conditions. There are also various other restrictive covenants customarily found in such debt instruments. Those covenants include a required asset coverage ratio (present value of proved reserves to debt and other liabilities) of at least 1.75 to 1.0 and a minimum annual coverage ratio of operating cash flow to interest expense for the trailing four quarters of 2.8 to 1.0. The notes are also subject to customary events of default. |
Derivative_Instruments_and_Hed
Derivative Instruments and Hedging Activities | 9 Months Ended | |||||||||||||||||||||||
Sep. 30, 2014 | ||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | |||||||||||||||||||||||
Derivative Instruments and Hedging Activities | ' | |||||||||||||||||||||||
Derivative Instruments and Hedging Activities | ||||||||||||||||||||||||
The Company periodically enters into commodity derivatives to manage its exposure to price fluctuations on natural gas and crude oil production. The Company’s credit agreement restricts the ability of the Company to enter into commodity derivatives other than to hedge or mitigate risks to which the Company has actual or projected exposure or as permitted under the Company’s risk management policies and where such derivatives do not subject the Company to material speculative risks. All of the Company’s derivatives are used for risk management purposes and are not held for trading purposes. | ||||||||||||||||||||||||
Through March 31, 2014, the Company elected to designate its commodity derivatives as cash flow hedges for accounting purposes. Effective April 1, 2014, the Company elected to discontinue hedge accounting for its commodity derivatives on a prospective basis. Accordingly, the change in the fair value of derivatives designated as hedges that are effective is recorded to accumulated other comprehensive income (loss) in stockholders’ equity in the Condensed Consolidated Balance Sheet. The ineffective portion of the change in the fair value of derivatives designated as hedges and the change in fair value of realized cash settlements of derivatives not designated as hedges are recorded as a component of operating revenues in gain (loss) on derivative instruments in the Condensed Consolidated Statement of Operations. | ||||||||||||||||||||||||
As a result of discontinuing hedge accounting, the unrealized loss included in accumulated other comprehensive income (loss) as of April 1, 2014 of $73.4 million ($44.2 million net of tax) was frozen and will be reclassified into natural gas and crude oil and condensate revenues in the Condensed Consolidated Statement of Operations in future periods as the underlying hedge transactions occur. Through September 30, 2014, the Company has reclassified after-tax losses of $26.8 million that were previously frozen in accumulated other comprehensive income (loss) to natural gas and crude oil and condensate revenues in the Condensed Consolidated Statement of Operations. As of September 30, 2014, the Company expects to reclassify $17.4 million in after-tax losses associated with its commodity derivatives from accumulated other comprehensive income (loss) to natural gas and crude oil and condensate revenues in the Condensed Consolidated Statement of Operations over the next three months. | ||||||||||||||||||||||||
As of September 30, 2014, the Company had the following outstanding commodity derivatives: | ||||||||||||||||||||||||
Collars | Swaps | |||||||||||||||||||||||
Floor | Ceiling | |||||||||||||||||||||||
Type of Contract | Volume | Contract Period | Range | Weighted-Average | Range | Weighted- Average | Weighted- Average | |||||||||||||||||
Natural gas | 84.9 | Bcf | Oct. 2014 - Dec. 2014 | $3.60-$4.37 | $ | 4.13 | $4.22-$4.80 | $ | 4.51 | |||||||||||||||
Natural gas | 26.8 | Bcf | Oct. 2014 - Dec. 2014 | $ | 4.05 | |||||||||||||||||||
Natural gas | 35.5 | Bcf | Jan. 2015 - Dec. 2015 | — | $ | 3.86 | $4.36-$4.43 | $ | 4.4 | |||||||||||||||
Natural gas | 35.5 | Bcf | Jan. 2015 - Dec. 2015 | $ | 4.12 | |||||||||||||||||||
Crude oil | 184 | Mbbl | Oct. 2014 - Dec. 2014 | $ | 97 | |||||||||||||||||||
Natural gas prices are stated per Mcf and crude oil prices are stated per barrel. | ||||||||||||||||||||||||
Effect of Derivative Instruments on the Condensed Consolidated Balance Sheet | ||||||||||||||||||||||||
Fair Values of Derivative Instruments | ||||||||||||||||||||||||
Derivative Assets | Derivative Liabilities | |||||||||||||||||||||||
(In thousands) | Balance Sheet Location | September 30, | December 31, | September 30, | December 31, | |||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||
Derivatives Designated as Hedges | ||||||||||||||||||||||||
Commodity contracts | Other current assets | $ | — | $ | 3,019 | $ | — | $ | — | |||||||||||||||
Commodity contracts | Accrued liabilities | — | — | — | 13,912 | |||||||||||||||||||
Derivatives Not Designated as Hedges | ||||||||||||||||||||||||
Commodity contracts | Other current assets | 16,503 | — | — | — | |||||||||||||||||||
Commodity contracts | Accrued liabilities | — | — | 102 | — | |||||||||||||||||||
Commodity contracts | Other liabilities | — | — | 549 | — | |||||||||||||||||||
$ | 16,503 | $ | 3,019 | $ | 651 | $ | 13,912 | |||||||||||||||||
Offsetting of Derivative Assets and Liabilities in the Condensed Consolidated Balance Sheet | ||||||||||||||||||||||||
(In thousands) | September 30, | December 31, | ||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
Derivative Assets | ||||||||||||||||||||||||
Gross amounts of recognized assets | $ | 19,445 | $ | 13,792 | ||||||||||||||||||||
Gross amounts offset in the statement of financial position | (2,942 | ) | (10,773 | ) | ||||||||||||||||||||
Net amounts of assets presented in the statement of financial position | 16,503 | 3,019 | ||||||||||||||||||||||
Gross amounts of financial instruments not offset in the statement of financial position | 238 | 373 | ||||||||||||||||||||||
Net amount | $ | 16,741 | $ | 3,392 | ||||||||||||||||||||
Derivative Liabilities | ||||||||||||||||||||||||
Gross amounts of recognized liabilities | $ | 3,593 | $ | 24,685 | ||||||||||||||||||||
Gross amounts offset in the statement of financial position | (2,942 | ) | (10,773 | ) | ||||||||||||||||||||
Net amounts of liabilities presented in the statement of financial position | 651 | 13,912 | ||||||||||||||||||||||
Gross amounts of financial instruments not offset in the statement of financial position | — | — | ||||||||||||||||||||||
Net amount | $ | 651 | $ | 13,912 | ||||||||||||||||||||
Effect of Derivative Instruments on Accumulated Other Comprehensive Income (Loss) | ||||||||||||||||||||||||
The amount of gain (loss) recognized in accumulated other comprehensive income (loss) on derivatives (effective portion) is as follows: | ||||||||||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||||
(In thousands) | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||
Commodity contracts | $ | — | $ | (2,384 | ) | $ | (133,310 | ) | $ | 51,783 | ||||||||||||||
The amount of gain (loss) reclassified from accumulated other comprehensive income (loss) into income (effective portion) is as follows: | ||||||||||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||||
(In thousands) | 2014 (1) | 2013 | 2014 (1) | 2013 | ||||||||||||||||||||
Natural gas revenues | $ | (21,427 | ) | $ | 20,766 | $ | (114,304 | ) | $ | 33,822 | ||||||||||||||
Crude oil and condensate revenues | (130 | ) | (1,082 | ) | (984 | ) | 3,054 | |||||||||||||||||
$ | (21,557 | ) | $ | 19,684 | $ | (115,288 | ) | $ | 36,876 | |||||||||||||||
-1 | The Company ceased hedge accounting effective April 1, 2014. For the three and nine months ended September 30, 2014, a loss of approximately $21.6 million and $44.5 million, respectively, were reclassified into income. These amounts were previously frozen in accumulated other comprehensive income (loss). | |||||||||||||||||||||||
Effect of Derivative Instruments on the Condensed Consolidated Statement of Operations | ||||||||||||||||||||||||
The amount of gain (loss) recognized in the Condensed Consolidated Statement of Operations on derivative instruments is as follows: | ||||||||||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||||
(In thousands) | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||
Derivatives Designated as Hedges | ||||||||||||||||||||||||
Realized | ||||||||||||||||||||||||
Natural gas | $ | — | $ | 20,766 | $ | (70,557 | ) | $ | 33,822 | |||||||||||||||
Crude oil and condensate | — | (1,082 | ) | (218 | ) | 3,054 | ||||||||||||||||||
$ | — | $ | 19,684 | $ | (70,775 | ) | $ | 36,876 | ||||||||||||||||
Derivatives Not Designated as Hedges | ||||||||||||||||||||||||
Realized | ||||||||||||||||||||||||
Natural gas | $ | (21,427 | ) | $ | — | $ | (43,747 | ) | $ | — | ||||||||||||||
Crude oil and condensate | (130 | ) | — | (766 | ) | — | ||||||||||||||||||
Gain (loss) on derivative instruments | 40,073 | — | 24,811 | — | ||||||||||||||||||||
Unrealized | ||||||||||||||||||||||||
Gain (loss) on derivative instruments | 31,833 | — | 44,766 | — | ||||||||||||||||||||
$ | 50,349 | $ | — | $ | 25,064 | $ | — | |||||||||||||||||
$ | 50,349 | $ | 19,684 | $ | (45,711 | ) | $ | 36,876 | ||||||||||||||||
For the three and nine months ended September 30, 2014 and 2013, respectively, there was no ineffectiveness recorded in the Condensed Consolidated Statement of Operations related to derivative instruments designated as hedges. | ||||||||||||||||||||||||
Additional Disclosures about Derivative Instruments and Hedging Activities | ||||||||||||||||||||||||
The use of derivative instruments involves the risk that the counterparties will be unable to meet their obligations under the agreements. The Company enters into derivative contracts with multiple counterparties in order to limit its exposure to individual counterparties. The Company also has netting arrangements with each of its counterparties that allow it to offset assets and liabilities from separate derivative contracts with that counterparty. | ||||||||||||||||||||||||
Certain counterparties to the Company’s derivative instruments are also lenders under its revolving credit facility. The Company’s revolving credit facility and derivative instruments contain certain cross default and acceleration provisions that may require immediate payment of its derivative liabilities in certain situations. |
Fair_Value_Measurements
Fair Value Measurements | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Fair Value Measurements | ' | ||||||||||||||||
Fair Value Measurements | |||||||||||||||||
The Company follows the authoritative guidance for measuring fair value of assets and liabilities in its financial statements. For further information regarding the fair value hierarchy, refer to Note 7 of the Notes to the Consolidated Financial Statements in the Form 10-K. | |||||||||||||||||
Non-Financial Assets and Liabilities | |||||||||||||||||
The Company discloses or recognizes its non-financial assets and liabilities, such as impairments of oil and gas properties and other assets, at fair value on a nonrecurring basis. As none of the Company’s non-financial assets and liabilities were impaired as of September 30, 2014 and 2013 and no other assets or liabilities were required to be recognized at fair value on a non-recurring basis, additional disclosures were not provided. | |||||||||||||||||
The estimated fair value of the Company’s asset retirement obligation at inception is determined by utilizing the income approach by applying a credit-adjusted risk-free rate, which takes into account the Company’s credit risk, the time value of money, and the current economic state, to the undiscounted expected abandonment cash flows. Given the unobservable nature of the inputs, the measurement of the asset retirement obligation was classified as Level 3 in the fair value hierarchy. | |||||||||||||||||
Financial Assets and Liabilities | |||||||||||||||||
The following fair value hierarchy table presents information about the Company’s financial assets and liabilities measured at fair value on a recurring basis: | |||||||||||||||||
(In thousands) | Quoted Prices in | Significant Other | Significant | September 30, | |||||||||||||
Active Markets for | Observable Inputs | Unobservable Inputs | 2014 | ||||||||||||||
Identical Assets | (Level 2) | (Level 3) | |||||||||||||||
(Level 1) | |||||||||||||||||
Assets | |||||||||||||||||
Deferred compensation plan | $ | 12,815 | $ | — | $ | — | $ | 12,815 | |||||||||
Derivative contracts | — | 1,578 | 17,867 | 19,445 | |||||||||||||
Total assets | $ | 12,815 | $ | 1,578 | $ | 17,867 | $ | 32,260 | |||||||||
Liabilities | |||||||||||||||||
Deferred compensation plan | $ | 30,277 | $ | — | $ | — | $ | 30,277 | |||||||||
Derivative contracts | — | 1,216 | 2,377 | 3,593 | |||||||||||||
Total liabilities | $ | 30,277 | $ | 1,216 | $ | 2,377 | $ | 33,870 | |||||||||
(In thousands) | Quoted Prices in | Significant Other | Significant | December 31, | |||||||||||||
Active Markets for | Observable Inputs | Unobservable Inputs | 2013 | ||||||||||||||
Identical Assets | (Level 2) | (Level 3) | |||||||||||||||
(Level 1) | |||||||||||||||||
Assets | |||||||||||||||||
Deferred compensation plan | $ | 12,507 | $ | — | $ | — | $ | 12,507 | |||||||||
Derivative contracts | — | — | 13,792 | 13,792 | |||||||||||||
Total assets | $ | 12,507 | $ | — | $ | 13,792 | $ | 26,299 | |||||||||
Liabilities | |||||||||||||||||
Deferred compensation plan | $ | 33,211 | $ | — | $ | — | $ | 33,211 | |||||||||
Derivative contracts | — | 6,983 | 17,702 | 24,685 | |||||||||||||
Total liabilities | $ | 33,211 | $ | 6,983 | $ | 17,702 | $ | 57,896 | |||||||||
The Company’s investments associated with its deferred compensation plan consist of mutual funds and deferred shares of the Company’s common stock that are publicly traded and for which market prices are readily available. | |||||||||||||||||
The derivative instruments were measured based on quotes from the Company’s counterparties. Such quotes have been derived using an income approach that considers various inputs including current market and contractual prices for the underlying instruments, quoted forward prices for natural gas and crude oil, basis differentials, volatility factors and interest rates, such as a LIBOR curve for a similar length of time as the derivative contract term as applicable. Estimates are verified using relevant NYMEX futures contracts and/or are compared to multiple quotes obtained from counterparties for reasonableness. The determination of the fair values presented above also incorporates a credit adjustment for non-performance risk. The Company measured the non-performance risk of its counterparties by reviewing credit default swap spreads for the various financial institutions with which it has derivative transactions, while non-performance risk of the Company is evaluated using a market credit spread provided by the Company’s bank. | |||||||||||||||||
The most significant unobservable inputs relative to the Company’s Level 3 derivative contracts are basis differentials and volatility factors. An increase (decrease) in these unobservable inputs would result in an increase (decrease) in fair value, respectively. The Company does not have access to the specific assumptions used in its counterparties’ valuation models. Consequently, additional disclosures regarding significant Level 3 unobservable inputs were not provided. | |||||||||||||||||
The following table sets forth a reconciliation of changes in the fair value of net financial assets (liabilities) classified as Level 3 in the fair value hierarchy: | |||||||||||||||||
Nine Months Ended | |||||||||||||||||
September 30, | |||||||||||||||||
(In thousands) | 2014 | 2013 | |||||||||||||||
Balance at beginning of period | $ | (3,910 | ) | $ | 41,159 | ||||||||||||
Total gains (losses) (realized or unrealized): | |||||||||||||||||
Realized and unrealized gains (losses) included in earnings | (33,804 | ) | 33,822 | ||||||||||||||
Included in other comprehensive income | (21,068 | ) | 24,287 | ||||||||||||||
Settlements | 74,271 | (33,822 | ) | ||||||||||||||
Transfers in and/or out of level 3 | — | — | |||||||||||||||
Balance at end of period | $ | 15,489 | $ | 65,446 | |||||||||||||
Change in unrealized gains (losses) relating to assets and liabilities still held at the end of | $ | 40,467 | $ | — | |||||||||||||
the period | |||||||||||||||||
There were no transfers between Level 1 and Level 2 measurements for the three and nine months ended September 30, 2014 and 2013. | |||||||||||||||||
Fair Value of Other Financial Instruments | |||||||||||||||||
The estimated fair value of financial instruments is the amount at which the instrument could be exchanged currently between willing parties. The carrying amounts reported in the Condensed Consolidated Balance Sheet for cash and cash equivalents, accounts receivable and accounts payable approximate fair value due to the short-term maturities of these instruments. | |||||||||||||||||
The Company uses available market data and valuation methodologies to estimate the fair value of debt. The fair value of long-term debt is the estimated amount the Company would have to pay a third party to assume the debt, including a credit spread for the difference between the issue rate and the period end market rate. The credit spread is the Company’s default or repayment risk. The credit spread (premium or discount) is determined by comparing the Company’s fixed-rate notes and revolving credit facility to new issuances (secured and unsecured) and secondary trades of similar size and credit statistics for both public and private debt. The fair value of all fixed-rate notes and the revolving credit facility is based on interest rates currently available to the Company. The Company’s long-term debt is valued using an income approach and classified as Level 3 in the fair value hierarchy due to the unobservable nature of the inputs. | |||||||||||||||||
The carrying amounts and fair values of long-term debt are as follows: | |||||||||||||||||
30-Sep-14 | 31-Dec-13 | ||||||||||||||||
(In thousands) | Carrying | Estimated Fair | Carrying | Estimated Fair | |||||||||||||
Amount | Value | Amount | Value | ||||||||||||||
Long-term debt | $ | 1,612,000 | $ | 1,697,654 | $ | 1,147,000 | $ | 1,224,273 | |||||||||
Asset_Retirement_Obligation
Asset Retirement Obligation | 9 Months Ended | ||||
Sep. 30, 2014 | |||||
Asset Retirement Obligation Disclosure [Abstract] | ' | ||||
Asset Retirement Obligation | ' | ||||
Asset Retirement Obligation | |||||
Activity related to the Company’s asset retirement obligation is as follows: | |||||
(In thousands) | Nine Months Ended | ||||
September 30, 2014 | |||||
Balance at beginning of period | $ | 75,853 | |||
Liabilities incurred | 4,360 | ||||
Liabilities settled | (411 | ) | |||
Liabilities divested | (899 | ) | |||
Change in estimate | 33,810 | ||||
Accretion expense | 3,528 | ||||
Balance at end of period | $ | 116,241 | |||
The change in estimate during 2014 is attributable to an increase in costs of materials and services. The increase in cost of materials and services is primarily due to more rigorous plugging and abandonment techniques associated with the Company's horizontal wells in certain areas of its operations and the lack of availability of service providers in areas with minimal activity. | |||||
As of both September 30, 2014 and December 31, 2013, approximately $2.0 million is included in accrued liabilities in the Condensed Consolidated Balance Sheet, which represents the current portion of the Company’s asset retirement obligation. |
Commitments_and_Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Commitments and Contingencies | ' |
Commitments and Contingencies | |
Contractual Obligations | |
The Company has various contractual obligations in the normal course of its operations. Except for certain new and amended transportation agreements described below, there have been no material changes to the Company’s contractual obligations described under “Transportation and Gathering Agreements”, “Drilling Rig Commitments” and “Lease Commitments” as disclosed in Note 9 in the Notes to Consolidated Financial Statements included in the Form 10-K. | |
Transportation and Gathering Agreements | |
During the first nine months of 2014, the Company entered into or amended certain natural gas transportation agreements associated with the Company’s production in Pennsylvania. These agreements increased the Company’s future aggregate obligations under its transportation commitments by approximately $230.5 million over the next 13 years compared to those amounts disclosed in Note 9 in the Notes to Consolidated Financial Statements included in the Form 10-K. | |
Legal Matters | |
The Company is a defendant in various legal proceedings arising in the normal course of business. All known liabilities are accrued when management determines they are probable based on its best estimate of the potential loss. While the outcome and impact of these legal proceedings on the Company cannot be predicted with certainty, management believes that the resolution of these proceedings will not have a material effect on the Company’s financial position, results of operations or cash flows. | |
Contingency Reserves | |
When deemed necessary, the Company establishes reserves for certain legal proceedings. The establishment of a reserve is based on an estimation process that includes the advice of legal counsel and subjective judgment of management. While management believes these reserves to be adequate, it is reasonably possible that the Company could incur additional losses with respect to those matters in which reserves have been established. The Company believes that any such amount above the amounts accrued is not material to the Condensed Consolidated Financial Statements. Future changes in facts and circumstances not currently foreseeable could result in the actual liability exceeding the estimated ranges of loss and amounts accrued. |
Postretirement_Benefits
Postretirement Benefits | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ' | ||||||||||||||||
Postretirement Benefits | ' | ||||||||||||||||
Postretirement Benefits | |||||||||||||||||
The components of net periodic benefit costs, included in general and administrative expense in the Condensed Consolidated Statement of Operations, were as follows: | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
(In thousands) | 2014 | 2013 | 2014 | 2013 | |||||||||||||
Service cost | $ | 456 | $ | 455 | $ | 1,368 | $ | 1,285 | |||||||||
Interest cost | 407 | 355 | 1,221 | 1,145 | |||||||||||||
Amortization of net loss | — | 116 | — | 525 | |||||||||||||
$ | 863 | $ | 926 | $ | 2,589 | $ | 2,955 | ||||||||||
The guidance for retirement benefits provides that the net actuarial loss is not amortized if it is less than 10% of the postretirement obligation. Accordingly, the Company does not expect to amortize its net actuarial loss from accumulated other comprehensive income (loss) during 2014. |
Stockbased_Compensation
Stock-based Compensation | 9 Months Ended | |||||||
Sep. 30, 2014 | ||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |||||||
Stock-based Compensation | ' | |||||||
Stock-based Compensation | ||||||||
General | ||||||||
Stock-based compensation expense during the first nine months of 2014 and 2013 was $15.1 million and $41.0 million, respectively, and is included in general and administrative expense in the Condensed Consolidated Statement of Operations. Stock-based compensation expense in the third quarter of 2014 and 2013 was $5.7 million and $12.2 million, respectively. | ||||||||
During the first nine months of 2014 and 2013, the Company realized a $6.0 million and $9.3 million tax benefit, respectively, related to the federal tax deduction in excess of book compensation cost for employee stock-based compensation. The Company is able to recognize this tax benefit only to the extent it reduces the Company’s income taxes payable. | ||||||||
Refer to Note 13 of the Notes to the Consolidated Financial Statements in the Form 10-K for further description of the various types of stock-based compensation awards and the applicable award terms. | ||||||||
Restricted Stock Awards | ||||||||
During the first nine months of 2014, 46,000 restricted stock awards were granted to employees with a weighted-average grant date per share value of $34.96. The fair value of restricted stock grants is based on the average of the high and low stock price on the grant date. The Company used an annual forfeiture rate assumption of 5.0% for purposes of recognizing stock-based compensation expense for restricted stock awards. | ||||||||
Restricted Stock Units | ||||||||
During the first nine months of 2014, 35,870 restricted stock units were granted to non-employee directors of the Company with a weighted-average grant date per unit value of $38.73. The fair value of these units is measured based on the average of the high and low stock price on grant date and compensation expense is recorded immediately. These units immediately vest and are issued when the director ceases to be a director of the Company. | ||||||||
Performance Share Awards | ||||||||
The performance period for the awards granted in 2014 commenced on January 1, 2014 and ends on December 31, 2016. The Company used an annual forfeiture rate assumption ranging from 0% to 5% for purposes of recognizing stock-based compensation expense for its performance share awards. | ||||||||
Performance Share Awards Based on Internal Performance Metrics | ||||||||
The fair value of performance award grants based on internal performance metrics is based on the average of the high and low stock price on the grant date and represents the right to receive up to 100% of the award in shares of common stock. | ||||||||
Employee Performance Share Awards. During the first nine months of 2014, 241,130 Employee Performance Share Awards were granted at a grant date per share value of $39.43. The performance metrics are set by the Company’s Compensation Committee and are based on the Company’s average production, average finding costs and average reserve replacement over a three-year performance period. Based on the Company’s probability assessment at September 30, 2014, it is considered probable that the criteria for these awards will be met. | ||||||||
Hybrid Performance Share Awards. During the first nine months of 2014, 123,257 Hybrid Performance Share Awards were granted at a grant date per share value of $39.43. The 2014 awards vest 25% on each of the first and second anniversary dates and 50% on the third anniversary, provided that the Company has $100 million or more of operating cash flow for the year preceding the vesting date, as set by the Company’s Compensation Committee. If the Company does not meet the performance metric for the applicable period, then the portion of the performance shares that would have been issued on that anniversary date will be forfeited. Based on the Company’s probability assessment at September 30, 2014, it is considered probable that the criteria for these awards will be met. | ||||||||
Performance Share Awards Based on Market Conditions | ||||||||
These awards have both an equity and liability component, with the right to receive up to the first 100% of the award in shares of common stock and the right to receive up to an additional 100% of the value of the award in excess of the equity component in cash. The Company calculates the fair value of these awards using a Monte Carlo simulation model. The equity component of these awards is valued on the grant date and is not marked to market, while the liability component of the awards is valued as of the end of each reporting period on a mark-to-market basis. | ||||||||
TSR Performance Share Awards. During the first nine months of 2014, 184,885 TSR Performance Share Awards were granted and are earned, or not earned, based on the comparative performance of the Company’s common stock measured against fourteen other companies in the Company’s peer group over a three-year performance period. | ||||||||
The following assumptions were used to determine the grant date fair value of the equity component (February 20, 2014) and the period-end fair value of the liability component of the TSR Performance Share Awards: | ||||||||
Grant Date | 30-Sep-14 | |||||||
Fair value per performance share award | $ | 32.04 | $7.19 - $25.22 | |||||
Assumptions: | ||||||||
Stock price volatility | 41.3 | % | 27.5% - 120.4% | |||||
Risk free rate of return | 0.7 | % | 0.02% - 0.7% | |||||
Expected dividend yield | 0.2 | % | 0.2 | % | ||||
Supplemental Employee Incentive Plan | ||||||||
The Company recognized stock-based compensation expense of $0.2 million and $4.1 million for the three months ended September 30, 2014 and 2013, respectively, and $3.3 million and $9.2 million for the nine months ended September 30, 2014 and 2013, respectively, related to the Company’s Supplemental Employee Incentive Plans, which is included in general and administrative expense in the Condensed Consolidated Statement of Operations. In August 2014, the Company paid $13.0 million associated with amounts that were previously deferred in accordance with the Company’s Supplemental Employee Incentive Plan III. Refer to Note 13 of the Notes to the Consolidated Financial Statements in the Form 10-K for additional information on the provisions of the Plan. | ||||||||
The following assumptions were used to determine the period-end fair value of the Supplemental Employee Incentive Plan IV liability using a Monte Carlo model: | ||||||||
September 30, | ||||||||
2014 | ||||||||
Stock price volatility | 33.9 | % | ||||||
Risk free rate of return | 1 | % | ||||||
Annual salary increase rate | 4 | % | ||||||
Annual turnover rate | 4.6 | % |
Earnings_per_Common_Share
Earnings per Common Share | 9 Months Ended | ||||||||||||
Sep. 30, 2014 | |||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||
Earnings per Common Share | ' | ||||||||||||
Earnings per Common Share | |||||||||||||
Basic EPS is computed by dividing net income by the weighted-average number of common shares outstanding for the period. Diluted EPS is similarly calculated except that the common shares outstanding for the period is increased using the treasury stock method to reflect the potential dilution that could occur if outstanding stock appreciation rights were exercised and stock awards were vested at the end of the applicable period. | |||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||
September 30, | September 30, | ||||||||||||
(In thousands) | 2014 | 2013 | 2014 | 2013 | |||||||||
Weighted-average shares - basic | 416,173 | 420,986 | 416,785 | 420,664 | |||||||||
Dilution effect of stock appreciation rights and stock awards at end of period | 1,920 | 2,467 | 1,683 | 2,160 | |||||||||
Weighted-average shares - diluted | 418,093 | 423,453 | 418,468 | 422,824 | |||||||||
Weighted-average stock awards and shares excluded from diluted earnings per share due to the anti-dilutive effect | — | 1 | 461 | 3 | |||||||||
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Income (Loss) | 9 Months Ended | ||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) | ' | ||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) | |||||||||||||||||||
Changes in accumulated other comprehensive income (loss) by component, net of tax, were as follows: | |||||||||||||||||||
(In thousands) | Net Gain | Postretirement | Total | ||||||||||||||||
(Loss) on | Benefits | ||||||||||||||||||
Cash Flow | |||||||||||||||||||
Hedges | |||||||||||||||||||
Balance at December 31, 2013 | $ | (6,551 | ) | $ | (1,810 | ) | $ | (8,361 | ) | ||||||||||
Other comprehensive income before reclassifications | (80,175 | ) | — | (80,175 | ) | ||||||||||||||
Amounts reclassified from accumulated other comprehensive income | 69,337 | — | 69,337 | ||||||||||||||||
Net current-period other comprehensive income | (10,838 | ) | — | (10,838 | ) | ||||||||||||||
Balance at September 30, 2014 | $ | (17,389 | ) | $ | (1,810 | ) | $ | (19,199 | ) | ||||||||||
Amounts reclassified from accumulated other comprehensive income (loss) into the Condensed Consolidated Statement of Operations were as follows: | |||||||||||||||||||
Three Months Ended | Nine Months Ended | Affected Line Item in the Condensed | |||||||||||||||||
September 30, | September 30, | ||||||||||||||||||
(In thousands) | 2014 | 2013 | 2014 | 2013 | Consolidated Statement of Operations | ||||||||||||||
Net gain (loss) on cash flow hedges | |||||||||||||||||||
Commodity contracts | $ | (21,427 | ) | $ | 20,766 | $ | (114,304 | ) | $ | 33,822 | Natural gas revenues | ||||||||
Commodity contracts | (130 | ) | (1,082 | ) | (984 | ) | 3,054 | Crude oil and condensate revenues | |||||||||||
Postretirement benefits | |||||||||||||||||||
Amortization of net loss | — | (116 | ) | — | (525 | ) | General and administrative expense | ||||||||||||
(21,557 | ) | 19,568 | (115,288 | ) | 36,351 | Total before tax | |||||||||||||
8,592 | (7,696 | ) | 45,951 | (14,298 | ) | Tax benefit (expense) | |||||||||||||
Total reclassifications for the period | $ | (12,965 | ) | $ | 11,872 | $ | (69,337 | ) | $ | 22,053 | Net of tax | ||||||||
ADDITIONAL_BALANCE_SHEET_INFOR
ADDITIONAL BALANCE SHEET INFORMATION | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Balance Sheet Related Disclosures [Abstract] | ' | ||||||||
ADDITIONAL BALANCE SHEET INFORMATION | ' | ||||||||
ADDITIONAL BALANCE SHEET INFORMATION | |||||||||
Certain balance sheet amounts are comprised of the following: | |||||||||
(In thousands) | September 30, | December 31, | |||||||
2014 | 2013 | ||||||||
Accounts receivable, net | |||||||||
Trade accounts | $ | 190,328 | $ | 215,361 | |||||
Joint interest billing | 1,493 | 7,261 | |||||||
Income taxes receivable | — | 922 | |||||||
Other accounts | 439 | 746 | |||||||
192,260 | 224,290 | ||||||||
Allowance for doubtful accounts | (990 | ) | (1,814 | ) | |||||
$ | 191,270 | $ | 222,476 | ||||||
Inventories | |||||||||
Natural gas in storage | $ | 3,596 | $ | 9,056 | |||||
Tubular goods and well equipment | 10,080 | 8,396 | |||||||
Other accounts | 55 | 16 | |||||||
$ | 13,731 | $ | 17,468 | ||||||
Other current assets | |||||||||
Prepaid balances and other | $ | 2,730 | $ | 2,587 | |||||
Derivative instruments | 16,503 | 3,019 | |||||||
$ | 19,233 | $ | 5,606 | ||||||
Other assets | |||||||||
Deferred compensation plan | $ | 12,815 | $ | 12,507 | |||||
Debt issuance cost | 18,725 | 16,476 | |||||||
Other accounts | 70 | 79 | |||||||
$ | 31,610 | $ | 29,062 | ||||||
Accounts payable | |||||||||
Trade accounts | $ | 53,938 | $ | 26,023 | |||||
Natural gas purchases | 6,813 | 2,052 | |||||||
Royalty and other owners | 102,933 | 79,150 | |||||||
Accrued capital costs | 185,525 | 146,899 | |||||||
Taxes other than income | 12,906 | 13,677 | |||||||
Drilling advances | 89 | 14,093 | |||||||
Other accounts | 17,583 | 6,907 | |||||||
$ | 379,787 | $ | 288,801 | ||||||
Accrued liabilities | |||||||||
Employee benefits | $ | 18,798 | $ | 43,599 | |||||
Taxes other than income | 10,459 | 6,894 | |||||||
Interest payable | 12,833 | 20,211 | |||||||
Derivative instruments | 102 | 13,912 | |||||||
Other accounts | 2,651 | 2,897 | |||||||
$ | 44,843 | $ | 87,513 | ||||||
Other liabilities | |||||||||
Deferred compensation plan | $ | 30,277 | $ | 33,211 | |||||
Derivative instruments | 549 | — | |||||||
Other accounts | 6,963 | 13,043 | |||||||
$ | 37,789 | $ | 46,254 | ||||||
CAPITAL_STOCK
CAPITAL STOCK | 9 Months Ended |
Sep. 30, 2014 | |
Equity [Abstract] | ' |
CAPITAL STOCK | ' |
CAPITAL STOCK | |
Incentive Plans | |
On May 1, 2014, the Company’s shareholders approved the 2014 Incentive Plan, which replaced the 2004 Incentive Plan that expired on April 29, 2014. Under the 2014 Incentive Plan, incentive and non-statutory stock options, stock appreciation rights (SARs), stock awards, cash awards and performance awards may be granted to key employees, consultants and officers of the Company. Non-employee directors of the Company may be granted discretionary awards under the 2014 Incentive Plan consisting of stock options or stock awards. A total of 18 million shares of common stock may be issued under the 2014 Incentive Plan. Under the 2014 Incentive Plan, no more than 10 million shares may be issued pursuant to incentive stock options. No additional awards may be granted under the 2014 Incentive Plan on or after May 1, 2024. | |
No additional awards will be granted under any of the Company’s prior plans, including the 2004 Incentive Plan. Awards outstanding under the 2004 Incentive Plan will remain outstanding in accordance with their original terms and conditions. | |
Increase in Authorized Shares | |
In May 2014, the Company’s shareholders approved an increase in the authorized number of shares of common stock from 480 million to 960 million shares. | |
Treasury Stock | |
In August 1998, the Board of Directors authorized a share repurchase program under which the Company may purchase shares of common stock in the open market or in negotiated transactions. The timing and amount of any stock purchases are determined at the discretion of management. The Company may use the repurchased shares to fund stock compensation programs currently in existence, or for other corporate purposes. All purchases executed to date have been through open market transactions. There is no expiration date associated with the authorization to repurchase common stock of the Company. | |
During the first nine months of 2014, the Company repurchased 4.0 million shares for a total cost of $130.8 million. Since the authorization date, the Company has repurchased 29.6 million shares of the 40.0 million total shares authorized for a total cost of approximately $380.3 million, of which 20.0 million shares have been retired. No treasury shares have been delivered or sold by the Company subsequent to the repurchase. As of September 30, 2014, 9.6 million shares were held as treasury stock. |
Financial_Statement_Presentati1
Financial Statement Presentation (Policies) | 9 Months Ended |
Sep. 30, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Recent Accounting Pronouncements | ' |
Recent Accounting Pronouncements | |
In April 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2014-08, Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity. The guidance applies prospectively to new disposals and new classifications of disposal groups as held for sale after the effective date. The guidance is effective for interim and annual periods beginning on or after December 15, 2014. The Company does not expect the adoption of this guidance to have a material impact on its financial position, results of operations or cash flows. | |
In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers, as a new Topic, Accounting Standards Codification Topic 606. The new revenue recognition standard provides a five-step analysis of transactions to determine when and how revenue is recognized. The core principle of the guidance is that a company should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This ASU is effective beginning in fiscal year 2017 and can be adopted either retrospectively or as a cumulative-effect adjustment as of the date of adoption. The Company is currently evaluating the effect that adopting this guidance will have on its financial position, results of operations or cash flows. | |
In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements - Going Concern, as a new Sub-topic, Accounting Standards Codification Sub-topic 205.40. The new going concern standard codifies in generally accepted accounting principles (GAAP) management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern and to provide related footnote disclosures. This ASU is effective for interim and annual periods beginning on or after December 15, 2016 and early adoption is permitted. The Company does not expect the adoption of this guidance to have a material impact on its financial position or results of operations. |
Properties_and_Equipment_Net_T
Properties and Equipment, Net (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Property, Plant and Equipment [Abstract] | ' | ||||||||
Schedule of properties and equipment, net | ' | ||||||||
Properties and equipment, net are comprised of the following: | |||||||||
(In thousands) | September 30, | December 31, | |||||||
2014 | 2013 | ||||||||
Proved oil and gas properties | $ | 7,405,851 | $ | 6,362,570 | |||||
Unproved oil and gas properties | 354,882 | 375,428 | |||||||
Gathering and pipeline systems | 240,705 | 239,958 | |||||||
Land, buildings and other equipment | 105,143 | 94,243 | |||||||
8,106,581 | 7,072,199 | ||||||||
Accumulated depreciation, depletion and amortization | (2,976,368 | ) | (2,525,972 | ) | |||||
$ | 5,130,213 | $ | 4,546,227 | ||||||
Debt_and_Credit_Agreements_Tab
Debt and Credit Agreements (Tables) | 9 Months Ended | |||||||||
Sep. 30, 2014 | ||||||||||
Debt Disclosure [Abstract] | ' | |||||||||
Debt and credit agreement components | ' | |||||||||
The Company’s debt and credit agreements consisted of the following: | ||||||||||
(In thousands) | September 30, | December 31, | ||||||||
2014 | 2013 | |||||||||
Long-Term Debt | ||||||||||
7.33% weighted-average fixed rate notes | $ | 20,000 | $ | 20,000 | ||||||
6.51% weighted-average fixed rate notes | 425,000 | 425,000 | ||||||||
9.78% notes | 67,000 | 67,000 | ||||||||
5.58% weighted-average fixed rate notes | 175,000 | 175,000 | ||||||||
3.65% weighted-average fixed rate notes | 925,000 | — | ||||||||
Revolving credit facility | — | 460,000 | ||||||||
$ | 1,612,000 | $ | 1,147,000 | |||||||
Bullet maturities of senior debt | ' | |||||||||
The notes have bullet maturities and were issued in three separate tranches as follows: | ||||||||||
Principal | Term | Maturity Date | Coupon | |||||||
Tranche 1 | $100,000,000 | 7 years | Sep-21 | 3.24 | % | |||||
Tranche 2 | $575,000,000 | 10 years | Sep-24 | 3.67 | % | |||||
Tranche 3 | $250,000,000 | 12 years | Sep-26 | 3.77 | % |
Derivative_Instruments_and_Hed1
Derivative Instruments and Hedging Activities (Tables) | 9 Months Ended | |||||||||||||||||||||||
Sep. 30, 2014 | ||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | |||||||||||||||||||||||
Outstanding commodity derivatives | ' | |||||||||||||||||||||||
As of September 30, 2014, the Company had the following outstanding commodity derivatives: | ||||||||||||||||||||||||
Collars | Swaps | |||||||||||||||||||||||
Floor | Ceiling | |||||||||||||||||||||||
Type of Contract | Volume | Contract Period | Range | Weighted-Average | Range | Weighted- Average | Weighted- Average | |||||||||||||||||
Natural gas | 84.9 | Bcf | Oct. 2014 - Dec. 2014 | $3.60-$4.37 | $ | 4.13 | $4.22-$4.80 | $ | 4.51 | |||||||||||||||
Natural gas | 26.8 | Bcf | Oct. 2014 - Dec. 2014 | $ | 4.05 | |||||||||||||||||||
Natural gas | 35.5 | Bcf | Jan. 2015 - Dec. 2015 | — | $ | 3.86 | $4.36-$4.43 | $ | 4.4 | |||||||||||||||
Natural gas | 35.5 | Bcf | Jan. 2015 - Dec. 2015 | $ | 4.12 | |||||||||||||||||||
Crude oil | 184 | Mbbl | Oct. 2014 - Dec. 2014 | $ | 97 | |||||||||||||||||||
Effect of derivative instruments on the condensed consolidated balance sheet | ' | |||||||||||||||||||||||
Effect of Derivative Instruments on the Condensed Consolidated Balance Sheet | ||||||||||||||||||||||||
Fair Values of Derivative Instruments | ||||||||||||||||||||||||
Derivative Assets | Derivative Liabilities | |||||||||||||||||||||||
(In thousands) | Balance Sheet Location | September 30, | December 31, | September 30, | December 31, | |||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||
Derivatives Designated as Hedges | ||||||||||||||||||||||||
Commodity contracts | Other current assets | $ | — | $ | 3,019 | $ | — | $ | — | |||||||||||||||
Commodity contracts | Accrued liabilities | — | — | — | 13,912 | |||||||||||||||||||
Derivatives Not Designated as Hedges | ||||||||||||||||||||||||
Commodity contracts | Other current assets | 16,503 | — | — | — | |||||||||||||||||||
Commodity contracts | Accrued liabilities | — | — | 102 | — | |||||||||||||||||||
Commodity contracts | Other liabilities | — | — | 549 | — | |||||||||||||||||||
$ | 16,503 | $ | 3,019 | $ | 651 | $ | 13,912 | |||||||||||||||||
Schedule of offsetting of derivative assets and liabilities in the condensed consolidated balance sheet | ' | |||||||||||||||||||||||
Offsetting of Derivative Assets and Liabilities in the Condensed Consolidated Balance Sheet | ||||||||||||||||||||||||
(In thousands) | September 30, | December 31, | ||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
Derivative Assets | ||||||||||||||||||||||||
Gross amounts of recognized assets | $ | 19,445 | $ | 13,792 | ||||||||||||||||||||
Gross amounts offset in the statement of financial position | (2,942 | ) | (10,773 | ) | ||||||||||||||||||||
Net amounts of assets presented in the statement of financial position | 16,503 | 3,019 | ||||||||||||||||||||||
Gross amounts of financial instruments not offset in the statement of financial position | 238 | 373 | ||||||||||||||||||||||
Net amount | $ | 16,741 | $ | 3,392 | ||||||||||||||||||||
Derivative Liabilities | ||||||||||||||||||||||||
Gross amounts of recognized liabilities | $ | 3,593 | $ | 24,685 | ||||||||||||||||||||
Gross amounts offset in the statement of financial position | (2,942 | ) | (10,773 | ) | ||||||||||||||||||||
Net amounts of liabilities presented in the statement of financial position | 651 | 13,912 | ||||||||||||||||||||||
Gross amounts of financial instruments not offset in the statement of financial position | — | — | ||||||||||||||||||||||
Net amount | $ | 651 | $ | 13,912 | ||||||||||||||||||||
Amount of gain (loss) recognized in accumulated other comprehensive income (loss) on derivatives | ' | |||||||||||||||||||||||
The amount of gain (loss) recognized in accumulated other comprehensive income (loss) on derivatives (effective portion) is as follows: | ||||||||||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||||
(In thousands) | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||
Commodity contracts | $ | — | $ | (2,384 | ) | $ | (133,310 | ) | $ | 51,783 | ||||||||||||||
Amount of gain (loss) reclassified from accumulated other comprehensive income (loss) | ' | |||||||||||||||||||||||
The amount of gain (loss) reclassified from accumulated other comprehensive income (loss) into income (effective portion) is as follows: | ||||||||||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||||
(In thousands) | 2014 (1) | 2013 | 2014 (1) | 2013 | ||||||||||||||||||||
Natural gas revenues | $ | (21,427 | ) | $ | 20,766 | $ | (114,304 | ) | $ | 33,822 | ||||||||||||||
Crude oil and condensate revenues | (130 | ) | (1,082 | ) | (984 | ) | 3,054 | |||||||||||||||||
$ | (21,557 | ) | $ | 19,684 | $ | (115,288 | ) | $ | 36,876 | |||||||||||||||
-1 | The Company ceased hedge accounting effective April 1, 2014. For the three and nine months ended September 30, 2014, a loss of approximately $21.6 million and $44.5 million, respectively, were reclassified into income. These amounts were previously frozen in accumulated other comprehensive income (loss). | |||||||||||||||||||||||
Effect of derivatives not designated as hedging instruments on the condensed consolidated statement of operations | ' | |||||||||||||||||||||||
The amount of gain (loss) recognized in the Condensed Consolidated Statement of Operations on derivative instruments is as follows: | ||||||||||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||||
(In thousands) | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||
Derivatives Designated as Hedges | ||||||||||||||||||||||||
Realized | ||||||||||||||||||||||||
Natural gas | $ | — | $ | 20,766 | $ | (70,557 | ) | $ | 33,822 | |||||||||||||||
Crude oil and condensate | — | (1,082 | ) | (218 | ) | 3,054 | ||||||||||||||||||
$ | — | $ | 19,684 | $ | (70,775 | ) | $ | 36,876 | ||||||||||||||||
Derivatives Not Designated as Hedges | ||||||||||||||||||||||||
Realized | ||||||||||||||||||||||||
Natural gas | $ | (21,427 | ) | $ | — | $ | (43,747 | ) | $ | — | ||||||||||||||
Crude oil and condensate | (130 | ) | — | (766 | ) | — | ||||||||||||||||||
Gain (loss) on derivative instruments | 40,073 | — | 24,811 | — | ||||||||||||||||||||
Unrealized | ||||||||||||||||||||||||
Gain (loss) on derivative instruments | 31,833 | — | 44,766 | — | ||||||||||||||||||||
$ | 50,349 | $ | — | $ | 25,064 | $ | — | |||||||||||||||||
$ | 50,349 | $ | 19,684 | $ | (45,711 | ) | $ | 36,876 | ||||||||||||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Financial assets and liabilities measured at fair value on a recurring basis | ' | ||||||||||||||||
The following fair value hierarchy table presents information about the Company’s financial assets and liabilities measured at fair value on a recurring basis: | |||||||||||||||||
(In thousands) | Quoted Prices in | Significant Other | Significant | September 30, | |||||||||||||
Active Markets for | Observable Inputs | Unobservable Inputs | 2014 | ||||||||||||||
Identical Assets | (Level 2) | (Level 3) | |||||||||||||||
(Level 1) | |||||||||||||||||
Assets | |||||||||||||||||
Deferred compensation plan | $ | 12,815 | $ | — | $ | — | $ | 12,815 | |||||||||
Derivative contracts | — | 1,578 | 17,867 | 19,445 | |||||||||||||
Total assets | $ | 12,815 | $ | 1,578 | $ | 17,867 | $ | 32,260 | |||||||||
Liabilities | |||||||||||||||||
Deferred compensation plan | $ | 30,277 | $ | — | $ | — | $ | 30,277 | |||||||||
Derivative contracts | — | 1,216 | 2,377 | 3,593 | |||||||||||||
Total liabilities | $ | 30,277 | $ | 1,216 | $ | 2,377 | $ | 33,870 | |||||||||
(In thousands) | Quoted Prices in | Significant Other | Significant | December 31, | |||||||||||||
Active Markets for | Observable Inputs | Unobservable Inputs | 2013 | ||||||||||||||
Identical Assets | (Level 2) | (Level 3) | |||||||||||||||
(Level 1) | |||||||||||||||||
Assets | |||||||||||||||||
Deferred compensation plan | $ | 12,507 | $ | — | $ | — | $ | 12,507 | |||||||||
Derivative contracts | — | — | 13,792 | 13,792 | |||||||||||||
Total assets | $ | 12,507 | $ | — | $ | 13,792 | $ | 26,299 | |||||||||
Liabilities | |||||||||||||||||
Deferred compensation plan | $ | 33,211 | $ | — | $ | — | $ | 33,211 | |||||||||
Derivative contracts | — | 6,983 | 17,702 | 24,685 | |||||||||||||
Total liabilities | $ | 33,211 | $ | 6,983 | $ | 17,702 | $ | 57,896 | |||||||||
Fair value of net financial assets and liabilities classified as level 3 | ' | ||||||||||||||||
The following table sets forth a reconciliation of changes in the fair value of net financial assets (liabilities) classified as Level 3 in the fair value hierarchy: | |||||||||||||||||
Nine Months Ended | |||||||||||||||||
September 30, | |||||||||||||||||
(In thousands) | 2014 | 2013 | |||||||||||||||
Balance at beginning of period | $ | (3,910 | ) | $ | 41,159 | ||||||||||||
Total gains (losses) (realized or unrealized): | |||||||||||||||||
Realized and unrealized gains (losses) included in earnings | (33,804 | ) | 33,822 | ||||||||||||||
Included in other comprehensive income | (21,068 | ) | 24,287 | ||||||||||||||
Settlements | 74,271 | (33,822 | ) | ||||||||||||||
Transfers in and/or out of level 3 | — | — | |||||||||||||||
Balance at end of period | $ | 15,489 | $ | 65,446 | |||||||||||||
Change in unrealized gains (losses) relating to assets and liabilities still held at the end of | $ | 40,467 | $ | — | |||||||||||||
the period | |||||||||||||||||
Carrying amounts and fair values of long-term debt | ' | ||||||||||||||||
The carrying amounts and fair values of long-term debt are as follows: | |||||||||||||||||
30-Sep-14 | 31-Dec-13 | ||||||||||||||||
(In thousands) | Carrying | Estimated Fair | Carrying | Estimated Fair | |||||||||||||
Amount | Value | Amount | Value | ||||||||||||||
Long-term debt | $ | 1,612,000 | $ | 1,697,654 | $ | 1,147,000 | $ | 1,224,273 | |||||||||
Asset_Retirement_Obligation_Ta
Asset Retirement Obligation (Tables) | 9 Months Ended | ||||
Sep. 30, 2014 | |||||
Asset Retirement Obligation Disclosure [Abstract] | ' | ||||
Asset Retirement Obligation | ' | ||||
Activity related to the Company’s asset retirement obligation is as follows: | |||||
(In thousands) | Nine Months Ended | ||||
September 30, 2014 | |||||
Balance at beginning of period | $ | 75,853 | |||
Liabilities incurred | 4,360 | ||||
Liabilities settled | (411 | ) | |||
Liabilities divested | (899 | ) | |||
Change in estimate | 33,810 | ||||
Accretion expense | 3,528 | ||||
Balance at end of period | $ | 116,241 | |||
Postretirement_Benefits_Tables
Postretirement Benefits (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ' | ||||||||||||||||
Components of net periodic benefit costs | ' | ||||||||||||||||
The components of net periodic benefit costs, included in general and administrative expense in the Condensed Consolidated Statement of Operations, were as follows: | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
(In thousands) | 2014 | 2013 | 2014 | 2013 | |||||||||||||
Service cost | $ | 456 | $ | 455 | $ | 1,368 | $ | 1,285 | |||||||||
Interest cost | 407 | 355 | 1,221 | 1,145 | |||||||||||||
Amortization of net loss | — | 116 | — | 525 | |||||||||||||
$ | 863 | $ | 926 | $ | 2,589 | $ | 2,955 | ||||||||||
Stockbased_Compensation_Tables
Stock-based Compensation (Tables) | 9 Months Ended | |||||||
Sep. 30, 2014 | ||||||||
Supplemental Employee Incentive Plan IV | ' | |||||||
Stock-Based Compensation arrangements | ' | |||||||
Schedule of Value per Share and Assumptions Used | ' | |||||||
The following assumptions were used to determine the period-end fair value of the Supplemental Employee Incentive Plan IV liability using a Monte Carlo model: | ||||||||
September 30, | ||||||||
2014 | ||||||||
Stock price volatility | 33.9 | % | ||||||
Risk free rate of return | 1 | % | ||||||
Annual salary increase rate | 4 | % | ||||||
Annual turnover rate | 4.6 | % | ||||||
TSR Performance Share Awards | ' | |||||||
Stock-Based Compensation arrangements | ' | |||||||
Schedule of Value per Share and Assumptions Used | ' | |||||||
The following assumptions were used to determine the grant date fair value of the equity component (February 20, 2014) and the period-end fair value of the liability component of the TSR Performance Share Awards: | ||||||||
Grant Date | 30-Sep-14 | |||||||
Fair value per performance share award | $ | 32.04 | $7.19 - $25.22 | |||||
Assumptions: | ||||||||
Stock price volatility | 41.3 | % | 27.5% - 120.4% | |||||
Risk free rate of return | 0.7 | % | 0.02% - 0.7% | |||||
Expected dividend yield | 0.2 | % | 0.2 | % |
Earnings_per_Common_Share_Tabl
Earnings per Common Share (Tables) | 9 Months Ended | ||||||||||||
Sep. 30, 2014 | |||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||
Calculation of basic and diluted weighted-average shares outstanding | ' | ||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||
September 30, | September 30, | ||||||||||||
(In thousands) | 2014 | 2013 | 2014 | 2013 | |||||||||
Weighted-average shares - basic | 416,173 | 420,986 | 416,785 | 420,664 | |||||||||
Dilution effect of stock appreciation rights and stock awards at end of period | 1,920 | 2,467 | 1,683 | 2,160 | |||||||||
Weighted-average shares - diluted | 418,093 | 423,453 | 418,468 | 422,824 | |||||||||
Weighted-average stock awards and shares excluded from diluted earnings per share due to the anti-dilutive effect | — | 1 | 461 | 3 | |||||||||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Income (Loss) (Tables) | 9 Months Ended | ||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||||
Changes in accumulated other comprehensive income (loss) by component, net of tax | ' | ||||||||||||||||||
Changes in accumulated other comprehensive income (loss) by component, net of tax, were as follows: | |||||||||||||||||||
(In thousands) | Net Gain | Postretirement | Total | ||||||||||||||||
(Loss) on | Benefits | ||||||||||||||||||
Cash Flow | |||||||||||||||||||
Hedges | |||||||||||||||||||
Balance at December 31, 2013 | $ | (6,551 | ) | $ | (1,810 | ) | $ | (8,361 | ) | ||||||||||
Other comprehensive income before reclassifications | (80,175 | ) | — | (80,175 | ) | ||||||||||||||
Amounts reclassified from accumulated other comprehensive income | 69,337 | — | 69,337 | ||||||||||||||||
Net current-period other comprehensive income | (10,838 | ) | — | (10,838 | ) | ||||||||||||||
Balance at September 30, 2014 | $ | (17,389 | ) | $ | (1,810 | ) | $ | (19,199 | ) | ||||||||||
Schedule of amount reclassified from accumulated other comprehensive income (loss) into the Condensed Consolidated Statement of Operations | ' | ||||||||||||||||||
Amounts reclassified from accumulated other comprehensive income (loss) into the Condensed Consolidated Statement of Operations were as follows: | |||||||||||||||||||
Three Months Ended | Nine Months Ended | Affected Line Item in the Condensed | |||||||||||||||||
September 30, | September 30, | ||||||||||||||||||
(In thousands) | 2014 | 2013 | 2014 | 2013 | Consolidated Statement of Operations | ||||||||||||||
Net gain (loss) on cash flow hedges | |||||||||||||||||||
Commodity contracts | $ | (21,427 | ) | $ | 20,766 | $ | (114,304 | ) | $ | 33,822 | Natural gas revenues | ||||||||
Commodity contracts | (130 | ) | (1,082 | ) | (984 | ) | 3,054 | Crude oil and condensate revenues | |||||||||||
Postretirement benefits | |||||||||||||||||||
Amortization of net loss | — | (116 | ) | — | (525 | ) | General and administrative expense | ||||||||||||
(21,557 | ) | 19,568 | (115,288 | ) | 36,351 | Total before tax | |||||||||||||
8,592 | (7,696 | ) | 45,951 | (14,298 | ) | Tax benefit (expense) | |||||||||||||
Total reclassifications for the period | $ | (12,965 | ) | $ | 11,872 | $ | (69,337 | ) | $ | 22,053 | Net of tax | ||||||||
ADDITIONAL_BALANCE_SHEET_INFOR1
ADDITIONAL BALANCE SHEET INFORMATION (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Balance Sheet Related Disclosures [Abstract] | ' | ||||||||
Additional Balance Sheet Information | ' | ||||||||
Certain balance sheet amounts are comprised of the following: | |||||||||
(In thousands) | September 30, | December 31, | |||||||
2014 | 2013 | ||||||||
Accounts receivable, net | |||||||||
Trade accounts | $ | 190,328 | $ | 215,361 | |||||
Joint interest billing | 1,493 | 7,261 | |||||||
Income taxes receivable | — | 922 | |||||||
Other accounts | 439 | 746 | |||||||
192,260 | 224,290 | ||||||||
Allowance for doubtful accounts | (990 | ) | (1,814 | ) | |||||
$ | 191,270 | $ | 222,476 | ||||||
Inventories | |||||||||
Natural gas in storage | $ | 3,596 | $ | 9,056 | |||||
Tubular goods and well equipment | 10,080 | 8,396 | |||||||
Other accounts | 55 | 16 | |||||||
$ | 13,731 | $ | 17,468 | ||||||
Other current assets | |||||||||
Prepaid balances and other | $ | 2,730 | $ | 2,587 | |||||
Derivative instruments | 16,503 | 3,019 | |||||||
$ | 19,233 | $ | 5,606 | ||||||
Other assets | |||||||||
Deferred compensation plan | $ | 12,815 | $ | 12,507 | |||||
Debt issuance cost | 18,725 | 16,476 | |||||||
Other accounts | 70 | 79 | |||||||
$ | 31,610 | $ | 29,062 | ||||||
Accounts payable | |||||||||
Trade accounts | $ | 53,938 | $ | 26,023 | |||||
Natural gas purchases | 6,813 | 2,052 | |||||||
Royalty and other owners | 102,933 | 79,150 | |||||||
Accrued capital costs | 185,525 | 146,899 | |||||||
Taxes other than income | 12,906 | 13,677 | |||||||
Drilling advances | 89 | 14,093 | |||||||
Other accounts | 17,583 | 6,907 | |||||||
$ | 379,787 | $ | 288,801 | ||||||
Accrued liabilities | |||||||||
Employee benefits | $ | 18,798 | $ | 43,599 | |||||
Taxes other than income | 10,459 | 6,894 | |||||||
Interest payable | 12,833 | 20,211 | |||||||
Derivative instruments | 102 | 13,912 | |||||||
Other accounts | 2,651 | 2,897 | |||||||
$ | 44,843 | $ | 87,513 | ||||||
Other liabilities | |||||||||
Deferred compensation plan | $ | 30,277 | $ | 33,211 | |||||
Derivative instruments | 549 | — | |||||||
Other accounts | 6,963 | 13,043 | |||||||
$ | 37,789 | $ | 46,254 | ||||||
Properties_and_Equipment_Net_D
Properties and Equipment, Net (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Property, Plant and Equipment [Abstract] | ' | ' |
Proved oil and gas properties | $7,405,851 | $6,362,570 |
Unproved oil and gas properties | 354,882 | 375,428 |
Gathering and pipeline systems | 240,705 | 239,958 |
Land, buildings and other equipment | 105,143 | 94,243 |
Properties and equipment, gross, total | 8,106,581 | 7,072,199 |
Accumulated depreciation, depletion and amortization | -2,976,368 | -2,525,972 |
Properties and equipment, net | $5,130,213 | $4,546,227 |
Properties_and_Equipment_Net_D1
Properties and Equipment, Net (Details 2) (USD $) | 9 Months Ended | 1 Months Ended | ||||
Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | Sep. 30, 2014 | Oct. 31, 2014 | Oct. 31, 2014 | |
Undeveloped oil and gas properties | Subsequent event | Eagle Ford Shale in South Texas | ||||
Undeveloped oil and gas properties | Subsequent event | |||||
Proved and Unproved oil and gas properties | ||||||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ' | ' | ' |
Minimum term of capitalization of exploratory well costs | '1 year | ' | ' | ' | ' | ' |
Acquisition cost of proved and unproved oil and gas properties | ' | ' | ' | ' | ' | $210,000,000 |
Total cash consideration paid for proved and unproved oil and gas properties as of closing date | ' | ' | ' | ' | ' | 186,200,000 |
Sale of undeveloped oil and gas properties | 3,913,000 | 15,174,000 | ' | ' | 44,300,000 | ' |
Total cash consideration received from sale of undeveloped oil and gas properties as of closing date | ' | ' | ' | ' | 39,900,000 | ' |
Net book value of assets held for sale | $5,130,213,000 | ' | $4,546,227,000 | $21,500,000 | ' | ' |
Equity_Method_Investments_Deta
Equity Method Investments (Details) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2014 | Feb. 28, 2014 |
Equity Method Investment | ' | ' |
Contributions made to equity method investments | $28.80 | ' |
Ownership interest (as a percent) | ' | 20.00% |
Amount of investment, new pipeline | ' | 149 |
Minimum | ' | ' |
Equity Method Investment | ' | ' |
Number of years of investment expected, new pipeline to occur | '3 years | ' |
Maximum | ' | ' |
Equity Method Investment | ' | ' |
Number of years of investment expected, new pipeline to occur | '4 years | ' |
Central Pipeline | ' | ' |
Equity Method Investment | ' | ' |
Length of pipeline to be constructed (in miles) | 177 | ' |
Central Pipeline | Transco | ' | ' |
Equity Method Investment | ' | ' |
Proportionate ownership interest, new pipeline (as a percent) | ' | 61.00% |
Constitution Pipeline Company, LLC [Member] | ' | ' |
Equity Method Investment | ' | ' |
Contributions made to equity method investments | 26.6 | ' |
Meade Pipeline Co LLC | ' | ' |
Equity Method Investment | ' | ' |
Contributions made to equity method investments | $2.20 | ' |
Meade Pipeline Co LLC | Central Pipeline | ' | ' |
Equity Method Investment | ' | ' |
Proportionate ownership interest, new pipeline (as a percent) | ' | 39.00% |
Debt_and_Credit_Agreements_Det
Debt and Credit Agreements (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Debt | ' | ' |
Long-term debt | $1,612,000 | $1,147,000 |
7.33% weighted-average fixed rate notes | ' | ' |
Debt | ' | ' |
Long-term debt | 20,000 | 20,000 |
6.51% weighted-average fixed rate notes | ' | ' |
Debt | ' | ' |
Long-term debt | 425,000 | 425,000 |
9.78% notes | ' | ' |
Debt | ' | ' |
Long-term debt | 67,000 | 67,000 |
5.58% weighted-average fixed rate notes | ' | ' |
Debt | ' | ' |
Long-term debt | 175,000 | 175,000 |
3.65% weighted-average fixed rate notes | ' | ' |
Debt | ' | ' |
Long-term debt | 925,000 | 0 |
Revolving credit facility | ' | ' |
Debt | ' | ' |
Long-term debt | $0 | $460,000 |
Debt_and_Credit_Agreements_Det1
Debt and Credit Agreements (Details 2) (Revolving credit facility, USD $) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Apr. 15, 2014 | |
Revolving credit facility | ' | ' | ' | ' | ' |
Debt | ' | ' | ' | ' | ' |
Borrowing base prior to approval | ' | ' | ' | ' | $2,300,000,000 |
Borrowing base | ' | ' | ' | ' | 3,100,000,000 |
Line of credit | 1,400,000,000 | ' | 1,400,000,000 | ' | ' |
Availability under the credit facility | $1,400,000,000 | ' | $1,400,000,000 | ' | ' |
Weighted-average effective interest rate | 2.20% | 2.20% | 2.20% | 2.30% | ' |
Debt_and_Credit_Agreements_Det2
Debt and Credit Agreements (Details 3) (Senior unsecured fixed-rate notes, USD $) | 1 Months Ended | 3 Months Ended |
Sep. 30, 2014 | Sep. 30, 2014 | |
Investor | ||
Debt | ' | ' |
Number of investors in private placement | 24 | ' |
Principal | $925,000,000 | $925,000,000 |
Weighted-average interest rate (as a percent) | 3.65% | 3.65% |
Asset Coverage Ratio, Minimum | 1.75 | 1.75 |
Annual Coverage Ratio, Minimum | ' | 2.8 |
Tranche 1 | ' | ' |
Debt | ' | ' |
Principal | 100,000,000 | 100,000,000 |
Term | '7 years | ' |
Coupon | 3.24% | 3.24% |
Tranche 2 | ' | ' |
Debt | ' | ' |
Principal | 575,000,000 | 575,000,000 |
Term | '10 years | ' |
Coupon | 3.67% | 3.67% |
Tranche 3 | ' | ' |
Debt | ' | ' |
Principal | $250,000,000 | $250,000,000 |
Term | '12 years | ' |
Coupon | 3.77% | 3.77% |
Debit_and_Credit_Agreements_Pa
Debit and Credit Agreements (Parenthetical) (Details) | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
7.33% weighted-average fixed rate notes | 7.33% weighted-average fixed rate notes | 6.51% weighted-average fixed rate notes | 6.51% weighted-average fixed rate notes | 9.78% notes | 9.78% notes | 5.58% weighted-average fixed rate notes | 5.58% weighted-average fixed rate notes | 3.65% weighted-average fixed rate notes | 3.65% weighted-average fixed rate notes | Revolving credit facility | Revolving credit facility | Revolving credit facility | Revolving credit facility | |
Debt | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term debt, weighted average interest rate | 7.33% | 7.33% | 6.51% | 6.51% | ' | ' | 5.58% | 5.58% | 3.65% | 3.65% | ' | ' | ' | ' |
Long-term debt, interest rate, stated percentage | ' | ' | ' | ' | 9.78% | 9.78% | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted-average effective interest rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2.20% | 2.20% | 2.20% | 2.30% |
Derivative_Instruments_and_Hed2
Derivative Instruments and Hedging Activities (Details) (USD $) | 3 Months Ended | 9 Months Ended | 6 Months Ended | |||||||||||||||||||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Apr. 01, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | ||||||
Derivatives Designated as Hedges | Derivatives Designated as Hedges | Derivatives Designated as Hedges | Derivatives Designated as Hedges | Derivatives Designated as Hedges | Derivatives Designated as Hedges | Derivatives Designated as Hedges | Derivatives Designated as Hedges | Derivatives Designated as Hedges | Derivatives Designated as Hedges | Derivatives Designated as Hedges | Natural Gas and Oil Revenue [Member] | |||||||||||
Natural Gas Collars with contract period of Jul. 2014 - Dec. 2014 | Natural Gas Collars with contract period of Jul. 2014 - Dec. 2014 | Natural Gas Collars with contract period of Jul. 2014 - Dec. 2014 | Natural Gas Collars with contract period of Jul. 2014 - Dec. 2014 | Natural Gas Swaps with contract period of Jul. 2014 - Dec. 2014 | Natural Gas Collars with contract period of January 2015 to December 2015 | Natural Gas Collars with contract period of January 2015 to December 2015 | Natural Gas Collars with contract period of January 2015 to December 2015 | Natural Gas Collars with contract period of January 2015 to December 2015 | Natural Gas Swaps with contract period of January 2015 to December 2015 | Crude Oil Swaps with contract period of Jul. 2014 - Dec. 2014 | ||||||||||||
MMcf | Minimum | Maximum | Weighted Average | Weighted Average | MMcf | Minimum | Maximum | Weighted Average | Weighted Average | Weighted Average | ||||||||||||
MMcf | MMcf | MBbls | ||||||||||||||||||||
Derivative disclosures | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Unrealized losses included in accumulated other comprehensive income and will reclassified into natural gas and crude oil revenues , pre-tax | ' | ' | ' | ' | $73,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Unrealized losses included in accumulated other comprehensive income and will reclassified into natural gas and crude oil revenues , net of tax | ' | ' | ' | ' | 44,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Reclassification adjustment for settled cash flow hedge contracts(1) | 12,965,000 | [1] | -11,942,000 | [1] | 69,337,000 | [1] | -22,372,000 | [1] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 26,800,000 | [2] |
Cash Flow Hedge Gain (Loss) to be Reclassified Remainder of Year | ' | ' | ($17,400,000) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Volume | ' | ' | ' | ' | ' | 84,900 | ' | ' | ' | 26,800 | 35,500 | ' | ' | ' | 35,500 | 184 | ' | |||||
Collar Floor Price | ' | ' | ' | ' | ' | ' | 3.6 | 4.37 | 4.13 | ' | ' | ' | ' | 3.86 | ' | ' | ' | |||||
Collar Ceiling Price | ' | ' | ' | ' | ' | ' | 4.22 | 4.8 | 4.51 | ' | ' | 4.36 | 4.43 | 4.4 | ' | ' | ' | |||||
Swaps Weighted Average | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4.05 | ' | ' | ' | ' | 4.12 | 97 | ' | |||||
[1] | Net of income taxes of $(8,592) and $7,742 for the three months ended September 30, 2014 and 2013, respectively, and $(45,951) and $14,504 for the nine months ended September 30, 2014 and 2013, respectively. | |||||||||||||||||||||
[2] | The Company ceased hedge accounting effective April 1, 2014. For the three and nine months ended September 30, 2014, a loss of approximately $21.6 million and $44.5 million, respectively, were reclassified into income. These amounts were previously frozen in accumulated other comprehensive income (loss). |
Derivative_Instruments_and_Hed3
Derivative Instruments and Hedging Activities (Details 2) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Effect of derivative instruments on the Consolidated Balance Sheet | ' | ' |
Fair Value Asset | $16,503 | $3,019 |
Fair Value Liability | 651 | 13,912 |
Derivatives Designated as Hedges | Commodity contracts | Other current assets | ' | ' |
Effect of derivative instruments on the Consolidated Balance Sheet | ' | ' |
Fair Value Asset | 0 | 3,019 |
Derivatives Designated as Hedges | Commodity contracts | Accrued liabilities | ' | ' |
Effect of derivative instruments on the Consolidated Balance Sheet | ' | ' |
Fair Value Liability | 0 | 13,912 |
Derivatives Not Designated as Hedges | Commodity contracts | Other current assets | ' | ' |
Effect of derivative instruments on the Consolidated Balance Sheet | ' | ' |
Fair Value Asset | 16,503 | 0 |
Derivatives Not Designated as Hedges | Commodity contracts | Accrued liabilities | ' | ' |
Effect of derivative instruments on the Consolidated Balance Sheet | ' | ' |
Fair Value Liability | 102 | 0 |
Derivatives Not Designated as Hedges | Commodity contracts | Other liabilities | ' | ' |
Effect of derivative instruments on the Consolidated Balance Sheet | ' | ' |
Fair Value Liability | $549 | $0 |
Derivative_Instruments_and_Hed4
Derivative Instruments and Hedging Activities (Details 3) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Derivative Assets | ' | ' |
Gross amounts of recognized assets | $19,445 | $13,792 |
Gross amounts offset in the statement of financial position | -2,942 | -10,773 |
Net amounts of assets presented in the statement of financial position | 16,503 | 3,019 |
Gross amounts of financial instruments not offset in the statement of financial position | 238 | 373 |
Net amount | 16,741 | 3,392 |
Derivative Liabilities | ' | ' |
Gross amounts of recognized liabilities | 3,593 | 24,685 |
Gross amounts offset in the statement of financial position | -2,942 | -10,773 |
Net amounts of liabilities presented in the statement of financial position | 651 | 13,912 |
Gross amounts of financial instruments not offset in the statement of financial position | 0 | 0 |
Net amount | $651 | $13,912 |
Derivative_Instruments_and_Hed5
Derivative Instruments and Hedging Activities (Details 4) (USD $) | 3 Months Ended | 6 Months Ended | 9 Months Ended | |||||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | ||||
Derivative instruments and hedging activities | ' | ' | ' | ' | ' | |||
Ineffectiveness related to derivative instruments | $0 | $0 | ' | $0 | $0 | |||
Amount of gain (loss) reclassified from accumulated other comprehensive income (loss) into income (effective portion) | -21,557,000 | [1] | 19,684,000 | -44,514,000 | [1] | -115,288,000 | [1] | 36,876,000 |
Unrealized Gain (Loss) on Derivatives | ' | ' | ' | 44,766,000 | 0 | |||
Gain (loss) on derivative instruments | 50,349,000 | 0 | ' | 25,064,000 | 0 | |||
Total | 50,349,000 | 19,684,000 | ' | -45,711,000 | 36,876,000 | |||
Natural Gas Revenues | ' | ' | ' | ' | ' | |||
Derivative instruments and hedging activities | ' | ' | ' | ' | ' | |||
Amount of gain (loss) reclassified from accumulated other comprehensive income (loss) into income (effective portion) | -21,427,000 | [1] | 20,766,000 | ' | -114,304,000 | [1] | 33,822,000 | |
Crude Oil and Condensate Revenues | ' | ' | ' | ' | ' | |||
Derivative instruments and hedging activities | ' | ' | ' | ' | ' | |||
Amount of gain (loss) reclassified from accumulated other comprehensive income (loss) into income (effective portion) | -130,000 | [1] | -1,082,000 | ' | -984,000 | [1] | 3,054,000 | |
Commodity contracts | ' | ' | ' | ' | ' | |||
Derivative instruments and hedging activities | ' | ' | ' | ' | ' | |||
Amount of gain (loss) recognized in other comprehensive income (loss) on derivative (effective portion) | 0 | -2,384,000 | ' | -133,310,000 | 51,783,000 | |||
Derivatives Designated as Hedges | ' | ' | ' | ' | ' | |||
Derivative instruments and hedging activities | ' | ' | ' | ' | ' | |||
Realized gain (loss) on derivative instruments | 0 | 19,684,000 | ' | -70,775,000 | 36,876,000 | |||
Derivatives Designated as Hedges | Natural Gas Revenues | ' | ' | ' | ' | ' | |||
Derivative instruments and hedging activities | ' | ' | ' | ' | ' | |||
Realized gain (loss) on derivative instruments | 0 | 20,766,000 | ' | -70,557,000 | 33,822,000 | |||
Derivatives Designated as Hedges | Crude Oil and Condensate Revenues | ' | ' | ' | ' | ' | |||
Derivative instruments and hedging activities | ' | ' | ' | ' | ' | |||
Realized gain (loss) on derivative instruments | 0 | -1,082,000 | ' | -218,000 | 3,054,000 | |||
Derivatives Not Designated as Hedges | ' | ' | ' | ' | ' | |||
Derivative instruments and hedging activities | ' | ' | ' | ' | ' | |||
Unrealized Gain (Loss) on Derivatives | 31,833,000 | 0 | ' | 44,766,000 | 0 | |||
Derivatives Not Designated as Hedges | Natural Gas Revenues | ' | ' | ' | ' | ' | |||
Derivative instruments and hedging activities | ' | ' | ' | ' | ' | |||
Realized gain (loss) on derivative instruments | -21,427,000 | 0 | ' | -43,747,000 | 0 | |||
Derivatives Not Designated as Hedges | Crude Oil and Condensate Revenues | ' | ' | ' | ' | ' | |||
Derivative instruments and hedging activities | ' | ' | ' | ' | ' | |||
Realized gain (loss) on derivative instruments | -130,000 | 0 | ' | -766,000 | 0 | |||
Derivatives Not Designated as Hedges | Gain (loss) on derivative instruments | ' | ' | ' | ' | ' | |||
Derivative instruments and hedging activities | ' | ' | ' | ' | ' | |||
Realized gain (loss) on derivative instruments | $40,073,000 | $0 | ' | $24,811,000 | $0 | |||
[1] | The Company ceased hedge accounting effective April 1, 2014. For the three and nine months ended September 30, 2014, a loss of approximately $21.6 million and $44.5 million, respectively, were reclassified into income. These amounts were previously frozen in accumulated other comprehensive income (loss). |
Fair_Value_Measurements_Detail
Fair Value Measurements (Details) (USD $) | 9 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | |
Impaired_Asset_And_Liability | Impaired_Asset_And_Liability | ||
Assets | ' | ' | ' |
Deferred compensation plan | $12,815,000 | ' | $12,507,000 |
Derivative contracts | 19,445,000 | ' | 13,792,000 |
Total assets | 32,260,000 | ' | 26,299,000 |
Liabilities | ' | ' | ' |
Deferred compensation plan | 30,277,000 | ' | 33,211,000 |
Derivative contracts | 3,593,000 | ' | 24,685,000 |
Total liabilities | 33,870,000 | ' | 57,896,000 |
Number of non-financial assets and liabilities impaired | 0 | 0 | ' |
Nonrecurring basis | ' | ' | ' |
Liabilities | ' | ' | ' |
Total liabilities | 0 | ' | ' |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Recurring basis | ' | ' | ' |
Assets | ' | ' | ' |
Deferred compensation plan | 12,815,000 | ' | 12,507,000 |
Derivative contracts | 0 | ' | 0 |
Total assets | 12,815,000 | ' | 12,507,000 |
Liabilities | ' | ' | ' |
Deferred compensation plan | 30,277,000 | ' | 33,211,000 |
Derivative contracts | 0 | ' | 0 |
Total liabilities | 30,277,000 | ' | 33,211,000 |
Significant Other Observable Inputs (Level 2) | Recurring basis | ' | ' | ' |
Assets | ' | ' | ' |
Deferred compensation plan | 0 | ' | 0 |
Derivative contracts | 1,578,000 | ' | 0 |
Total assets | 1,578,000 | ' | 0 |
Liabilities | ' | ' | ' |
Deferred compensation plan | 0 | ' | 0 |
Derivative contracts | 1,216,000 | ' | 6,983,000 |
Total liabilities | 1,216,000 | ' | 6,983,000 |
Significant Unobservable Inputs (Level 3) | Recurring basis | ' | ' | ' |
Assets | ' | ' | ' |
Deferred compensation plan | 0 | ' | 0 |
Derivative contracts | 17,867,000 | ' | 13,792,000 |
Total assets | 17,867,000 | ' | 13,792,000 |
Liabilities | ' | ' | ' |
Deferred compensation plan | 0 | ' | 0 |
Derivative contracts | 2,377,000 | ' | 17,702,000 |
Total liabilities | $2,377,000 | ' | $17,702,000 |
Fair_Value_Measurements_Detail1
Fair Value Measurements (Details 2) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Reconciliation of changes in the fair value of financial assets and liabilities classified as Level 3 in the fair value hierarchy | ' | ' |
Balance at beginning of period | ($3,910) | $41,159 |
Total gains (losses) (realized or unrealized): | ' | ' |
Realized and unrealized gains (losses) included in earnings | -33,804 | 33,822 |
Included in other comprehensive income | -21,068 | 24,287 |
Settlements | 74,271 | -33,822 |
Transfers in and/or out of level 3 | 0 | 0 |
Balance at end of period | 15,489 | 65,446 |
Change in unrealized gains (losses) relating to assets and liabilities still held at the end of the period | $40,467 | $0 |
Fair_Value_Measurements_Detail2
Fair Value Measurements (Details 3) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Fair value disclosures | ' | ' |
Long-term debt | $1,612,000 | $1,147,000 |
Carrying amount | ' | ' |
Fair value disclosures | ' | ' |
Long-term debt | 1,612,000 | 1,147,000 |
Estimated fair value | ' | ' |
Fair value disclosures | ' | ' |
Long-term debt | $1,697,654 | $1,224,273 |
Fair_Value_Measurements_Fair_V
Fair Value Measurements Fair Value Measurements (Parenthetical) (Details) (USD $) | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 |
Impaired_Asset_And_Liability | Impaired_Asset_And_Liability | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' |
Fair Value, Assets, Level 1 to Level 2 Transfers, Amount | $0 | ' | $0 |
Fair Value, Liabilities, Level 1 to Level 2 Transfers, Amount | 0 | ' | 0 |
Fair Value, Assets, Level 2 to Level 1 Transfers, Amount | 0 | ' | 0 |
Fair Value, Liabilities, Level 2 to Level 1 Transfers, Amount | 0 | ' | 0 |
Number of non-financial assets and liabilities impaired | 0 | 0 | ' |
Fair Value, Measurements, Nonrecurring [Member] | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' |
Asset Impairment Charges Non Financial | 0 | ' | ' |
Asset Impairment Charges Non Financial Liabilities | $0 | ' | ' |
Asset_Retirement_Obligation_De
Asset Retirement Obligation (Details) (USD $) | 9 Months Ended | |
Sep. 30, 2014 | Dec. 31, 2013 | |
Asset Retirement Obligation | ' | ' |
Balance at beginning of period | $75,853,000 | ' |
Liabilities incurred | 4,360,000 | ' |
Liabilities settled | -411,000 | ' |
Liabilities divested | -899,000 | ' |
Change in estimate | 33,810,000 | ' |
Accretion expense | 3,528,000 | ' |
Balance at end of period | 116,241,000 | ' |
Current portion of asset retirement obligation | $2,000,000 | $2,000,000 |
Commitments_and_Contingencies_
Commitments and Contingencies (Details) (Transportation and Gathering Agreements, USD $) | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2014 |
Transportation and Gathering Agreements | ' |
Commitments and Contingencies | ' |
Amount of increase in the future aggregate obligations under the transportation commitments | $230.50 |
Period over which increase in transportation and gathering agreements obligation is affected | '13 years |
Postretirement_Benefits_Detail
Postretirement Benefits (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Components of Net Periodic Benefit Cost | ' | ' | ' | ' |
Service cost | $456 | $455 | $1,368 | $1,285 |
Interest cost | 407 | 355 | 1,221 | 1,145 |
Amortization of net loss | 0 | 116 | 0 | 525 |
Net periodic benefit cost | $863 | $926 | $2,589 | $2,955 |
Stockbased_Compensation_Detail
Stock-based Compensation (Details) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 1 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 0 Months Ended | 9 Months Ended | |||||||||||
In Millions, except Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Aug. 31, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Feb. 20, 2014 | Sep. 30, 2014 |
Supplemental Employee Incentive Plan IV | Supplemental Employee Incentive Plan IV | Supplemental Employee Incentive Plan IV | Supplemental Employee Incentive Plan IV | Supplemental Employee Incentive Plans III | Restricted Stock Awards | Restricted Stock Units | Performance Share Awards | Performance Share Awards | Performance Share Awards Based on Internal Performance Metrics | Employee Performance Share Awards | Hybrid Performance Share Awards | Hybrid Performance Share Awards | Hybrid Performance Share Awards | Performance Shares Based on Market Conditions | TSR Performance Share Awards | TSR Performance Share Awards | |||||
Minimum | Maximum | Maximum | Hybrid performance share awards, percentage vesting on each of the first and second anniversary | Hybrid performance share awards, percentage vesting on the third anniversary | Maximum | Benchmark_Company | |||||||||||||||
Stock-based Compensation arrangements | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock based compensation expense | $5.70 | $12.20 | $15.10 | $41 | $0.20 | $4.10 | $3.30 | $9.20 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Tax benefits realized for stock-based compensation | ' | ' | -6 | -9.3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Granted (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | 46,000 | 35,870 | ' | ' | ' | 241,130 | 123,257 | ' | ' | ' | ' | 184,885 |
Granted (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | $34.96 | $38.73 | ' | ' | ' | $39.43 | $39.43 | ' | ' | ' | ' | ' |
Annual forfeiture rate assumption (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5.00% | ' | 0.00% | 5.00% | ' | ' | ' | ' | ' | ' | ' | ' |
Right to receive additional shares (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100.00% | ' | ' | ' | ' | ' | ' | ' |
Number of years over which performance criteria is to be met | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '3 years | ' | ' | ' | ' | ' | '3 years |
Vesting rights | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'The 2014 awards vest 25% on each of the first and second anniversary dates and 50% on the third anniversary | ' | ' | ' | ' | ' |
Minimum operating cash flow for the year preceding the performance period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100 | ' | ' | ' | ' | ' |
Right to receive shares (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100.00% | ' | ' |
Right to receive an additional award in cash (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100.00% | ' | ' |
Number of other companies in the Company's peer group | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 14 |
Payments associated with deferred compensation arrangements | ' | ' | ' | ' | ' | ' | ' | ' | $13 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Assumptions: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair value per performance share award (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $32.04 | ' |
Stock price volatility (as a percent) | ' | ' | ' | ' | ' | ' | 33.90% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 41.30% | ' |
Risk free rate of return (as a percent) | ' | ' | ' | ' | ' | ' | 1.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.70% | ' |
Expected dividend yield (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.20% | 0.20% |
Annual salary increase rate (as a percent) | ' | ' | ' | ' | ' | ' | 4.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Annual turnover rate | ' | ' | ' | ' | ' | ' | 4.60% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair value per performance share award Assumptions, low end of range (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $7.19 |
Fair value per performance share award Assumptions, high end of range (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $25.22 |
Stock Price Volatility, low end of range (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 27.50% |
Stock Price Volatility, high end of range (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 120.40% |
Risk free rate of return, low end of range (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.02% |
Risk free rate of return, high end of range (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.70% |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25.00% | 50.00% | ' | ' | ' |
Earnings_per_Common_Share_Deta
Earnings per Common Share (Details) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Earnings Per Share [Abstract] | ' | ' | ' | ' |
Weighted-average shares - basic | 416,173 | 420,986 | 416,785 | 420,664 |
Dilution effect of stock appreciation rights and stock awards at end of period (in shares) | 1,920 | 2,467 | 1,683 | 2,160 |
Weighted-average shares - diluted | 418,093 | 423,453 | 418,468 | 422,824 |
Weighted-average stock awards and shares excluded from diluted earnings per share due to the anti-dilutive effect | 0 | 1 | 461 | 3 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Income (Loss) (Details) (USD $) | 9 Months Ended | |||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Dec. 31, 2013 |
Net Gain (Loss) on Cash Flow Hedges | Postretirement Benefits | Postretirement Benefits | ||
Changes in accumulated other comprehensive income (loss) by component, net of tax | ' | ' | ' | ' |
Balance at December 31, 2013 | ($8,361) | ($6,551) | ($1,810) | ($1,810) |
Other comprehensive income before reclassifications | -80,175 | -80,175 | ' | ' |
Amounts reclassified from accumulated other comprehensive income | 69,337 | 69,337 | ' | ' |
Net current-period other comprehensive income | -10,838 | -10,838 | ' | ' |
Balance at September 30, 2014 | ($19,199) | ($17,389) | ($1,810) | ($1,810) |
Accumulated_Other_Comprehensiv3
Accumulated Other Comprehensive Income (Loss) (Details 2) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Line items in income statement impacted by reclassifications out of accumulated other comprehensive income | ' | ' | ' | ' |
Natural gas revenues | $347,970 | $341,901 | $1,218,540 | $1,004,085 |
Crude oil and condensate revenues | 82,563 | 84,209 | 228,047 | 220,090 |
Income before income taxes | 172,919 | 115,736 | 545,167 | 334,530 |
Tax benefit (expense) | -72,131 | -45,847 | -218,928 | -132,703 |
Reclassifications to net income | 100,788 | 69,889 | 326,239 | 201,827 |
Amount Reclassified from Accumulated Other Comprehensive Income | ' | ' | ' | ' |
Line items in income statement impacted by reclassifications out of accumulated other comprehensive income | ' | ' | ' | ' |
Income before income taxes | -21,557 | 19,568 | -115,288 | 36,351 |
Tax benefit (expense) | 8,592 | -7,696 | 45,951 | -14,298 |
Reclassifications to net income | -12,965 | 11,872 | -69,337 | 22,053 |
Net gain (loss) on cash flow hedges | Amount Reclassified from Accumulated Other Comprehensive Income | Commodity contracts | ' | ' | ' | ' |
Line items in income statement impacted by reclassifications out of accumulated other comprehensive income | ' | ' | ' | ' |
Natural gas revenues | -21,427 | 20,766 | -114,304 | 33,822 |
Crude oil and condensate revenues | -130 | -1,082 | -984 | 3,054 |
Postretirement benefits | Amount Reclassified from Accumulated Other Comprehensive Income | ' | ' | ' | ' |
Line items in income statement impacted by reclassifications out of accumulated other comprehensive income | ' | ' | ' | ' |
Amortization of net loss | $0 | ($116) | $0 | ($525) |
ADDITIONAL_BALANCE_SHEET_INFOR2
ADDITIONAL BALANCE SHEET INFORMATION (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Accounts receivable, net | ' | ' |
Trade accounts | $190,328 | $215,361 |
Joint interest billing | 1,493 | 7,261 |
Income taxes receivable | 0 | 922 |
Other accounts | 439 | 746 |
Accounts receivable, gross | 192,260 | 224,290 |
Allowance for doubtful accounts | -990 | -1,814 |
Accounts receivable, net | 191,270 | 222,476 |
Inventories | ' | ' |
Natural gas in storage | 3,596 | 9,056 |
Tubular goods and well equipment | 10,080 | 8,396 |
Other accounts | 55 | 16 |
Inventory, net | 13,731 | 17,468 |
Other current assets | ' | ' |
Prepaid balances and other | 2,730 | 2,587 |
Derivative instruments | 16,503 | 3,019 |
Other current assets | 19,233 | 5,606 |
Other assets | ' | ' |
Deferred compensation plan | 12,815 | 12,507 |
Debt issuance cost | 18,725 | 16,476 |
Other accounts | 70 | 79 |
Other assets | 31,610 | 29,062 |
Accounts payable | ' | ' |
Trade accounts | 53,938 | 26,023 |
Natural gas purchases | 6,813 | 2,052 |
Royalty and other owners | 102,933 | 79,150 |
Accrued capital costs | 185,525 | 146,899 |
Taxes other than income | 12,906 | 13,677 |
Drilling advances | 89 | 14,093 |
Other accounts | 17,583 | 6,907 |
Accounts payable current | 379,787 | 288,801 |
Accrued liabilities | ' | ' |
Employee benefits | 18,798 | 43,599 |
Taxes other than income | 10,459 | 6,894 |
Interest payable | 12,833 | 20,211 |
Derivative instruments | 102 | 13,912 |
Other accounts | 2,651 | 2,897 |
Accrued liabilities | 44,843 | 87,513 |
Other liabilities | ' | ' |
Deferred compensation plan | 30,277 | 33,211 |
Derivative instruments | 549 | 0 |
Other accounts | 6,963 | 13,043 |
Other liabilities | $37,789 | $46,254 |
CAPITAL_STOCK_Details
CAPITAL STOCK (Details) (USD $) | 9 Months Ended | 9 Months Ended | |||||
In Millions, except Share data, unless otherwise specified | Sep. 30, 2014 | 31-May-14 | 30-May-14 | Dec. 31, 2013 | Sep. 30, 2014 | 1-May-14 | 1-May-14 |
2014 Incentive Plan | 2014 Incentive Plan | 2014 Incentive Plan | |||||
Stock options | |||||||
Maximum | |||||||
Incentive Plans | ' | ' | ' | ' | ' | ' | ' |
Number of shares reserved for issuance | ' | ' | ' | ' | ' | 18,000,000 | 10,000,000 |
Number of additional shares issuable under the 2014 Incentive Plan on or after May 1, 2024 | ' | ' | ' | ' | 0 | ' | ' |
Number of additional shares that will be issued under any of the Company's prior plans, including the 2004 Incentive Plan | 0 | ' | ' | ' | ' | ' | ' |
Common stock, authorized shares | 960,000,000 | 960,000,000 | 480,000,000 | 480,000,000 | ' | ' | ' |
Number of shares repurchased | 4,000,000 | ' | ' | ' | ' | ' | ' |
Cost of shares repurchased | $130.80 | ' | ' | ' | ' | ' | ' |
Cumulative number of shares repurchased under a share repurchase program | 29,600,000 | ' | ' | ' | ' | ' | ' |
Treasury stock, number of shares authorized to be repurchased | 40,000,000 | ' | ' | ' | ' | ' | ' |
Cumulative cost of shares repurchased under a share repurchase program | $380.30 | ' | ' | ' | ' | ' | ' |
Treasury stock, cumulative shares retired | 20,000,000 | ' | ' | ' | ' | ' | ' |
Shares held as treasury stock | 9,638,980 | ' | ' | 5,618,166 | ' | ' | ' |