Impairment of Assets

3 Months Ended

Sep. 30, 2011

Impairment of Assets [Abstract]

Asset Impairment Charges [Text Block]

Impairment of Assets

Atoka operates a 20 MMcf/d refrigeration processing plant which processes gas gathered in the Atoka area. The processing plant is leased on a month-to-month basis. In August 2011, management made a decision to use third-party processing exclusively for gathered volumes dedicated to the Atoka plant and, therefore, to take the processing plant out of service and return it to the lessor in accordance with the rental agreement. As a result, in August 2011 Enogex recorded a pre-tax impairment loss of $5.0 million in the Gathering and Processing segment associated with the cost it had capitalized in connection with the installation of the leased plant as it will not be able to recover the remaining value of the assets through future cash flows. The Atoka plant assets were measured at fair value on a nonrecurring basis and are considered level 3 in the fair value hierarchy (see Note 5). The noncontrolling interest portion of the pre-tax impairment loss is $2.5 million which is included in Net Income Attributable to Noncontrolling Interests in the Company's Condensed Consolidated Statement of Income.