CHAPTER 11 PROCEEDINGS AND ACCOUNTING POLICIES

Chapter 11 Proceedings

On March 17, 2015, the Company and our subsidiaries Barnett Shale Operating LLC, Cowtown Drilling, Inc., Cowtown Gas Processing L.P., Cowtown Pipeline Funding, Inc., Cowtown Pipeline L.P., Cowtown Pipeline Management, Inc., Makarios Resources International Holdings LLC, Makarios Resources International Inc., QPP Holdings LLC, QPP Parent LLC, Quicksilver Production Partners GP LLC, Quicksilver Production Partners LP, and Silver Stream Pipeline Company LLC each filed a voluntary petition under Chapter 11 in the Bankruptcy Court to restructure our obligations and capital structure. The Chapter 11 cases are being jointly administered for procedural purposes only by the Bankruptcy Court under the caption In re Quicksilver Resources Inc., et. al., Case No. 15-10585 (LSS) (Jointly Administered).

The U.S. Debtors are currently operating our business as debtors in possession in accordance with the applicable provisions of the Bankruptcy Code. Since the Chapter 11 filings, the Bankruptcy Court has entered the orders necessary to enable the U.S. Debtors to conduct normal business activities, including orders to, among other things and subject to applicable caps for pre-petition items, pay employee wages and benefits, pay certain lienholders and critical vendors, and forward funds belonging to third parties, including royalty holders and partners, as well as the approval of the U.S. Debtors’ use of their secured lenders’ cash collateral and collateral, and the provision of adequate protection related thereto. The order authorizing the U.S. Debtors to use collateral and cash collateral will expire on December 17, 2015. The U.S. Debtors will be seeking and expect to receive authority to use collateral and cash collateral beyond December 17, 2015. While the U.S. Debtors are subject to Chapter 11, all transactions outside the ordinary course of their business will require the prior approval of the Bankruptcy Court.

On March 16, June 15 and September 15, 2015, we, along with QRCI, entered into the Forbearance Agreements with the administrative agents and certain of the lenders under the Combined Credit Agreements. As a result of the Chapter 11 filing, the obligations under the Combined Credit Agreements were automatically accelerated. However, pursuant to the Forbearance Agreements, the administrative agents and the lenders agreed to, among other things, (i) forbear from exercising their rights and remedies in connection with specified defaults under the Amended and Restated Canadian Credit Facility related to our Chapter 11 filing until the earlier of December 15, 2015 or certain other events specified in the Forbearance Agreements, including, among other things, the commencement by QRCI or certain specified Canadian subsidiary guarantors of insolvency proceedings and (ii) waive compliance with certain specified terms and conditions relating to the renewal of outstanding evergreen letters of credit under the Combined Credit Agreements, among other things.

On September 17, 2015, the Company announced the commencement of a marketing and sale process to sell substantially all or a portion of its U.S. and Canadian assets. The U.S. process was initiated with the filing of a motion with the Bankruptcy Court seeking approval of bidding procedures to commence a sale process for the Company’s U.S. assets under Bankruptcy Code section 363. On October 6, 2015, the Bankruptcy Court entered an order approving the Company’s proposed bidding procedures in their entirety. Pursuant to the Bankruptcy Court’s order, the deadline for interested parties to submit a bid to purchase some or substantially all of the Company’s U.S. assets is November 30, 2015 at 5:00 p.m. (ET) and an auction will be conducted with respect to bids received by qualified bidders on December 9, 2015 at 10:00 a.m. (CT) followed by a hearing to approve one or more sales to successful bidders to be held on December 14, 2015 at 10:00 a.m. (ET). The Canadian process, which is an out of court process and will run in parallel to the process approved by the Bankruptcy Court for the U.S. assets, was also launched on September 17, 2015. Both the U.S. and the Canadian processes will be conducted with the assistance of Houlihan Lokey. There can be no assurances that the marketing and sale process will be successful.

Appointment of Creditors Committee. On March 25, 2015, the United States Trustee for Delaware appointed the Creditors Committee. The Creditors Committee and its legal representatives have a right to be heard on all matters that come before the Bankruptcy Court with respect to the U.S. Debtors. There can be no assurance that the Creditors Committee will support the U.S. Debtors’ positions on matters presented to the Bankruptcy Court, including any Chapter 11 plan. Disagreements between the U.S. Debtors and the Creditors Committee could protract the Chapter 11 proceedings, negatively impact the U.S. Debtors’ ability to operate, and delay the U.S. Debtors’ emergence from the Chapter 11 proceedings.

The U.S. Debtors’ Exclusivity Periods. On July 7, 2015, the Bankruptcy Court entered an order extending the U.S Debtors’ (i) Exclusive Filing Period through and including October 13, 2015 and (ii) Exclusive Solicitation Period through and including December 14, 2015. On October 13, 2015, the U.S. Debtors requested extensions of the Exclusive Filing Period and Exclusive Solicitation Period through and including February 1, 2016, and April 13, 2016, respectively, to afford them the opportunity to complete the critical tasks necessary to develop and negotiate a Chapter 11 plan with their creditors. The Exclusive Filing Period is automatically extended until the Bankruptcy Court acts on this request, and a hearing on the matter is scheduled on November 3, 2015.

Rejection of Executory Contracts. Subject to certain exceptions, under the Bankruptcy Code, the U.S. Debtors may assume, assign, or reject certain executory contracts and unexpired leases subject to the approval of the Bankruptcy Court and certain other conditions. The rejection of an executory contract or unexpired lease is generally treated as a pre-petition breach of such executory contract or unexpired lease and, subject to certain exceptions, relieves the U.S. Debtors of performing their future obligations under such executory contract or unexpired lease but entitles the contract counterparty or lessor to a pre-petition general unsecured claim for damages caused by such deemed breach. Counterparties to such rejected contracts or leases may assert claims against the applicable U.S. Debtor's estate for such damages. The assumption of an executory contract or unexpired lease generally requires the U.S. Debtors to cure existing monetary defaults under such executory contract or unexpired lease and provide adequate assurance of future performance. Accordingly, any description of an executory contract or unexpired lease with the U.S. Debtors in this Quarterly Report, including where applicable a quantification of our obligations under any such executory contract or unexpired lease with the U.S. Debtors, is qualified by any overriding rejection rights we have under the Bankruptcy Code. Further, nothing herein is or shall be deemed an admission with respect to any claim amounts or calculations arising from the rejection of any executory contract or unexpired lease and the U.S. Debtors expressly preserve all of their rights with respect thereto.

The U.S. Debtors’ financial statements include amounts classified as Liabilities Subject to Compromise that the U.S. Debtors believe the Bankruptcy Court will allow as claim amounts resulting from the U.S. Debtors’ rejection of various executory contracts and unexpired leases. Additional amounts may be included in Liabilities Subject to Compromise in future periods if additional executory contracts and unexpired leases are rejected. Conversely, the U.S. Debtors expect that the assumption of certain executory contracts and unexpired leases may convert certain liabilities shown in future financial statements as subject to compromise to post-petition liabilities. Due to the uncertain nature of many of the potential claims, the magnitude of such claims is not reasonably estimable at this time. Such claims may be material (see “Liabilities Subject to Compromise” below).

Magnitude of Potential Claims. On June 9, 2015, the U.S. Debtors filed with the Bankruptcy Court Schedules and Statements setting forth, among other things, the assets and liabilities of the U.S. Debtors, subject to the assumptions filed in connection therewith. The Schedules and Statements may be subject to further amendment or modification. On October 14, 2015, the U.S. Debtors filed an amended schedule with the Bankruptcy Court to add certain executory contracts to the schedule.

Certain holders of pre-petition claims were required to file proofs of claim by the Bar Date. As of October 27, 2015, approximately 498 claims totaling about $14.6 billion had been filed with the Bankruptcy Court against the U.S. Debtors, and we expect amended claims to be filed in the future, including claims amended to assign values to claims originally filed with no designated value. Through the claims resolution process, we have identified, and we expect to continue to identify, claims that we believe should be disallowed by the Bankruptcy Court because they are duplicative, have been later amended or superseded, are without merit, are overstated or for other reasons. We have and will file objections with the Bankruptcy Court as necessary for claims we believe should be disallowed. Claims we believe are allowable are included in Liabilities Subject to Compromise.

Through the claims resolution process, differences in amounts scheduled by the U.S. Debtors and claims filed by creditors will be investigated and resolved, including through the filing of objections with the Bankruptcy Court where appropriate. The claims resolution process will take additional time to complete, and we expect that it will continue after our emergence from bankruptcy. Accordingly, the ultimate number and amount of allowed claims is not presently known, nor can the ultimate recovery with respect to allowed claims be presently ascertained.

Costs of Reorganization. The U.S. Debtors have incurred and will continue to incur significant costs associated with the reorganization. The amount of these costs, which are being expensed as incurred, are expected to significantly affect our results of operations and liquidity. For additional information, see “Reorganization Items, net” below.

Effect of Filing on Creditors and Stockholders. Under the priority scheme established by the Bankruptcy Code, unless creditors agree otherwise, pre-petition liabilities and post-petition liabilities must be satisfied in full before the holders of our existing common stock are entitled to receive any distribution or retain any property under a Chapter 11 plan. The ultimate recovery to creditors and/or stockholders, if any, will not be determined until confirmation and implementation of Chapter 11 plan. No assurance can be given as to what values, if any, will be ascribed in the Chapter 11 proceedings to each of these constituencies or what types or amounts of distributions, if any, they would receive. A Chapter 11 plan could result in holders of U.S. Debtors’ liabilities and/or securities, including our common stock, receiving no distribution on account of their interests and cancellation of their holdings. We believe that it is highly likely that the shares of our existing common stock will be canceled in the Chapter 11 proceedings and will be entitled to a limited recovery, if any. As discussed below, if certain requirements of the Bankruptcy Code are met, a Chapter 11 plan can be confirmed notwithstanding its rejection by the holders of our common stock and notwithstanding the fact that such holders do not receive or retain any property on account of their equity interests under the plan. Because of such possibilities, the value of our securities, including our common stock, is highly speculative. We urge that appropriate caution be exercised with respect to existing and future investments in any of the securities of the U.S. Debtors.

Subject to certain specific exceptions under the Bankruptcy Code, the Chapter 11 filings automatically enjoined, or stayed, the continuation of any judicial or administrative proceedings or other actions against the U.S. Debtors or their property to recover on, collect or secure a claim arising prior to the Petition Date. As a result, for example, most creditor actions to obtain possession of property from the U.S. Debtors, or to create, perfect or enforce any lien against the property of the U.S. Debtors, or to collect on or otherwise exercise rights or remedies with respect to a pre-petition claim are enjoined unless and until the Bankruptcy Court lifts the automatic stay.

Notice and Hearing Procedures for Trading in Claims and Equity Securities. The Bankruptcy Court issued a final order pursuant to Sections 105(a), 362(a)(3) and 541 of the Bankruptcy Code to enable the U.S. Debtors to avoid limitations on the use of their tax net operating loss carryforwards and certain other tax attributes by imposing certain notice procedures and transfer restrictions on the trading of our equity securities.

In general, the order applies to any person or entity that, directly or indirectly, beneficially owns (or would beneficially own as a result of a proposed transfer) at least 4.75% of our outstanding equity securities. Substantial Equityholders are required to file with the Bankruptcy Court and serve us with notice of such status. In addition, the order provides that a person or entity that would become a Substantial Equityholder by reason of a proposed acquisition of our equity securities is also required to comply with the notice and service provisions before effecting that transaction. The order gives the U.S. Debtors the right to seek an injunction from the Bankruptcy Court to prevent certain acquisitions or sales of our common stock if the acquisition or sale would pose a material risk of adversely affecting our ability to utilize such tax attributes.

Under the order, prior to any proposed acquisition of equity securities that would result in an increase in the amount of our equity securities owned by a Substantial Equityholder, or that would result in a person or entity becoming a Substantial Equityholder, such person, entity or Substantial Equityholder is required to file with the Bankruptcy Court, and serve on the Company, a Notice of Intent to Purchase, Acquire or Otherwise Accumulate an Equity Security. In addition, prior to effecting any disposition of our equity securities that would result in a decrease in the amount of our equity securities beneficially owned by a Substantial Equityholder, such Substantial Equityholder is required to file with the Bankruptcy Court, and serve on the Company, a Notice of Intent to Sell, Trade or Otherwise Transfer Equity Securities.

Any purchase, sale or other transfer of our equity securities in violation of the restrictions of the order would be null and void ab initio as an act in violation of such order and would therefore confer no rights on a proposed transferee.

Process for Chapter 11 plan. In order to successfully exit bankruptcy, the U.S. Debtors will need to propose, and obtain confirmation by the Bankruptcy Court of, a plan (or plans) that satisfies the requirements of the Bankruptcy Code. A Chapter 11 plan would, among other things, resolve the U.S. Debtors’ pre-petition obligations, set forth the revised capital structure of the newly reorganized entity and provide for corporate governance subsequent to exit from bankruptcy.

The U.S. Debtors have the exclusive right for 120 days after the Petition Date to file a Chapter 11 plan and have been granted a 90 day extension to the Exclusive Periods. As discussed above, the U.S. Debtors have requested a further extension of the Exclusive Periods. If we file a Chapter 11 plan, the U.S. Debtors have 60 additional days to obtain necessary acceptances of our plan. The periods may be further extended by the Bankruptcy Court for cause. If the U.S. Debtors’ Exclusive Filing Period lapses, any party in interest may file a Chapter 11 plan for any of the U.S. Debtors. As discussed above, the Exclusive Filing Period has been automatically extended until the Bankruptcy Court acts on the U.S. Debtors’ request to further extend the Exclusive Filing Period and Exclusive Solicitation Period through and including February 1, 2016, and April 13, 2016, respectively, and a hearing on the matter is scheduled on November 3, 2015.

In addition to being voted on by holders of impaired claims and equity interests, a Chapter 11 plan must satisfy certain requirements of the Bankruptcy Code and must be approved, or confirmed, by the Bankruptcy Court in order to become effective. A Chapter 11 plan would be accepted by holders of claims against and equity interests in the U.S. Debtors if (i) at least one-half in number and two-thirds in dollar amount of claims actually voting in each class of claims impaired by the plan have voted to accept the plan and (ii) at least two-thirds in amount of equity interests actually voting in each class of equity interests impaired by the plan has voted to accept the plan. A class of claims or equity interests that does not receive or retain any property under the plan on account of such claims or interests is deemed to have voted to reject the plan.

Under certain circumstances set forth in Section 1129(b) of the Bankruptcy Code, the Bankruptcy Court may confirm a plan even if such plan has not been accepted by all impaired classes of claims and equity interests. The precise requirements and evidentiary showing for confirming a plan notwithstanding its rejection by one or more impaired classes of claims or equity interests depends upon a number of factors, including the status and seniority of the claims or equity interests in the rejecting class (i.e., secured claims or unsecured claims, subordinated or senior claims, preferred or common stock). Generally, with respect to common stock interests, a plan may be “crammed down” even if the shareowners receive no recovery if the proponent of the plan demonstrates that (1) no class junior to the common stock is receiving or retaining property under the plan and (2) no class of claims or interests senior to the common stock is being paid more than in full.

The timing of filing a Chapter 11 plan by the U.S. Debtors will depend on the timing and outcome of numerous other ongoing matters in the Chapter 11 proceedings. There can be no assurance at this time that the U.S. Debtors will be able to successfully develop, confirm and consummate one or more Chapter 11 plans that satisfies the conditions of the Bankruptcy Code and is confirmed by the Bankruptcy Court, or that any such plan will be implemented successfully.

For the duration of our Chapter 11 proceedings, our operations and our ability to develop and execute our business plan are subject to the risks and uncertainties associated with the Chapter 11 process as described in our 2014 Annual Report on Form 10-K, Item 1A, “Risk Factors.” As a result of these risks and uncertainties, the number of our outstanding shares and our stockholders, assets, liabilities, officers and/or directors could be significantly different following the outcome of the Chapter 11 proceedings, and the description of our operations, properties and capital plans included in this Quarterly Report may not accurately reflect our operations, properties and capital plans following the Chapter 11 process.

Basis of Presentation

The accompanying condensed consolidated interim financial statements have not been audited. In management’s opinion, the accompanying condensed consolidated interim financial statements contain all adjustments necessary to fairly present our financial position as of September 30, 2015 and our results of operations and cash flows for the periods presented. All such adjustments are of a normal recurring nature unless otherwise noted. The results for interim periods are not necessarily indicative of annual results.

The preparation of financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the reported amounts of certain assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expense during each reporting period. We believe our estimates and assumptions are reasonable; however, such estimates and assumptions are subject to a number of risks and uncertainties, which may cause actual results to differ materially from management’s estimates.

Certain disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted. Accordingly, these financial statements should be read in conjunction with our consolidated financial statements and notes thereto included in our 2014 Annual Report on Form 10-K.

As a result of sustained losses and our Chapter 11 proceedings, the realization of assets and satisfaction of liabilities, without substantial adjustments and/or changes in ownership, are subject to uncertainty. Given the uncertainty surrounding our Chapter 11 proceedings, there is substantial doubt about our ability to continue as a going concern.

The accompanying condensed consolidated interim financial statements do not purport to reflect or provide for the consequences of our Chapter 11 proceedings, other than as set forth under Liabilities Subject to Compromise and Reorganization Items, net on the accompanying condensed consolidated interim financial statements. In particular, the financial statements do not purport to show (i) as to assets, their realizable value on a liquidation basis or their availability to satisfy liabilities; (ii) as to pre-petition liabilities, the amounts that may be allowed for claims or contingencies, or the status and priority thereof; (iii) as to stockholders’ equity accounts, the effect of any changes that may be made in our capitalization; or (iv) as to operations, the effect of any changes that may be made to our business.

In accordance with GAAP, we have applied ASC 852 “Reorganizations,” in preparing our condensed consolidated interim financial statements. ASC 852 requires that the financial statements, for periods subsequent to the Chapter 11 filing, distinguish transactions and events that are directly associated with the reorganization from the ongoing operations of the business. Accordingly, certain revenues, expenses, realized gains and losses and provisions for losses that are realized or incurred in the bankruptcy proceedings are recorded in Reorganization Items, net in the accompanying condensed consolidated statements of income (loss) and comprehensive income (loss). In addition, pre-petition obligations that may be impacted by the bankruptcy reorganization process have been classified on our condensed consolidated balance sheets at September 30, 2015 in Liabilities Subject to Compromise. These liabilities are reported at the amounts expected to be allowed by the Bankruptcy Court, even if they may be settled for lesser amounts.

While operating as debtors in possession under Chapter 11 of the Bankruptcy Code, the U.S. Debtors may sell or otherwise dispose of or liquidate assets or settle liabilities in amounts other than those reflected in our condensed consolidated interim financial statements, subject to the approval of the Bankruptcy Court or otherwise as permitted in the ordinary course of business. Further, a Chapter 11 plan could materially change the amounts and classifications in our historical condensed consolidated interim financial statements.

Liabilities Subject to Compromise

The following table summarizes the components of liabilities subject to compromise included on our Condensed Consolidated Balance Sheet as of September 30, 2015:



	September 30, 2015

	(in thousands)
Accounts payable	$	1,215
Accrued liabilities	116,515
Debt	1,766,398
Liabilities subject to compromise	$	1,884,128

Liabilities Subject to Compromise refers to pre-petition obligations that may be impacted by the Chapter 11 reorganization process. The amounts represent our current estimate of known or potential obligations to be resolved in connection with our Chapter 11 proceedings. Accrued liabilities primarily includes previously accrued and unpaid interest that is associated with the debt that we believe may be impacted by the bankruptcy reorganization process.

Differences between liabilities we have estimated and the claims filed, will be investigated and resolved in connection with the claims resolution process. We will continue to evaluate these liabilities throughout the Chapter 11 process and adjust amounts as necessary. Such adjustments may be material.

Reorganization Items, net

The following table summarizes the components included in Reorganization Items, net in our condensed consolidated statements of income (loss) and comprehensive income (loss) for the three and nine months ended September 30, 2015:



	For the Three Months Ended September 30, 2015			For the Nine Months Ended September 30, 2015

	(in thousands)
Professional fees	$	8,352		$	22,895
Deferred financing costs and unamortized discounts	—			59,983
Deferred interest rate swap gains	—			(2,314		)
Terminated contracts	(469		)	68,004
Reorganization items, net	$	7,883		$	148,568

Professional fees included in Reorganization Items, net are for post-petition expenses. Deferred financing costs and unamortized discounts are included for the Second Lien Term Loan, Second Lien Notes, Senior Notes due 2019, Senior Notes due 2021 and Senior Subordinated Notes as we believe these debt instruments may be impacted by the bankruptcy reorganization process. Terminated contracts represent the estimated claims related to five GPT and one professional fee contracts that run through 2019 and were not previously included on the balance sheet as the liability was contingent or an executory contract included in commitments and contingencies. The amount is derived by using the undiscounted contractual rates multiplied by the remaining contractual volumes and will be adjusted through the claims reconciliation process as necessary. The reduction in terminated contracts for the three months ended September 30, 2015 is due to an adjustment to the previously accrued amount based on claims filed.

Recently Issued Accounting Standards

In February 2015, the FASB issued accounting guidance, “Consolidation (Topic 810): Amendments to the Consolidation Analysis,” requiring reporting entities to evaluate whether they should consolidate certain legal entities. The standard is effective for us in the first quarter of 2016 with early adoption permitted. We are currently evaluating the new guidance and have not determined the impact this standard may have on our financial statements.

In April 2015, the FASB issued accounting guidance, “Interest - Imputation of Interest,” that requires debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. This update is effective for us in the first quarter of 2016. We will adopt this guidance in the first quarter of 2016 which will reduce other assets and the current portion of long-term debt.

In July 2015, the FASB voted to extend by one year the effective date to adopt the accounting guidance, “Revenue from Contracts with Customers,” which requires an entity to recognize the amount of revenue that it expects to be entitled for the transfer of promised goods or services to customers. The updated standard will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective and permits the use of either the retrospective or cumulative effect transition method. Reporting entities may elect to adopt the guidance at the original effective date or may delay one year. We intend to delay the adoption of this guidance until the first quarter of 2018. We have not yet selected a transition method and we are currently evaluating the effect, if any, that the updated standard will have on our consolidated financial statements and related disclosures.

In July 2015, the FASB issued accounting guidance, “Simplifying the Measurement of Inventory,” that requires inventory to be measured at the lower of cost and net realizable value and options that currently exist for market value to be eliminated. The guidance defines net realizable value as the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. The guidance is effective on a prospective basis for reporting periods beginning after December 15, 2016 and interim periods within those fiscal years with early adoption permitted. We are evaluating the impact that the adoption will have on our consolidated financial statements.

No other pronouncements materially affecting our financial statements have been issued since the filing of our 2014 Annual Report on Form 10-K.

Restatement of Previously Reported Consolidated Financial Statements

Subsequent to filing our Form 10-Q for the period ended September 30, 2015, we identified an error in the calculation of our crude oil and natural gas proved reserve estimates as of September 30, 2015. The reserve estimate error resulted in an understatement of impairment expense for the nine months ended September 30, 2015. The reserve estimate error was due to all applicable costs not being considered.

On March 8, 2016 management and the audit committee of our Board of Directors concluded that adjustment to the historical financial statements was required; therefore, we restated our condensed consolidated balance sheet as of September 30, 2015 and the related statement of income and comprehensive income, statement of stockholders’ equity and statement of cash flows for the three and nine months ended September 30, 2015 on Form 10-Q/A. These adjustments to the financial statements represent additional non-cash impairment charges.

The following tables show the effects of the adjustments made to our Condensed Consolidated Balance Sheets as of September 30, 2015 and Condensed Consolidated Statements of Income (Loss) and Comprehensive Income (Loss) and Condensed Consolidated Statements of Cash Flows for the three months and nine months ended September 30, 2015.

Condensed Consolidated Balance Sheets



	As of September 30, 2015
	Previously Reported			Adjustments		As Restated

	(in thousands)
Oil and natural gas properties, full cost method	$	403,248		(61,760	)	$	341,488
Property, plant and equipment - net	502,580			(61,760	)	440,820
Total assets	730,224			(61,760	)	668,464
Retained deficit	(2,349,419		)	(61,760	)	(2,411,179		)
Total stockholders' equity	(1,566,342		)	(61,760	)	(1,628,102		)
Total liabilities and stockholders' equity	730,224			(61,760	)	668,464

Condensed Consolidated Statements of Income (Loss) and Comprehensive Income (Loss)



	For the Three Months Ended September 30, 2015									For the Nine Months Ended September 30, 2015
	Previously Reported			Adjustments			As Restated			Previously Reported			Adjustments			As Restated

	(in thousands), except for per share data
Impairment	$	102,758		$	61,760		$	164,518		$	180,169		$	61,760		$	241,929
Total expense	164,274			61,760			226,034			403,153			61,760			464,913
Operating income (loss)	(105,287		)	(61,760		)	(167,047		)	(176,034		)	(61,760		)	(237,794		)
Income (loss) before income taxes	(120,300		)	(61,760		)	(182,060		)	(404,122		)	(61,760		)	(465,882		)
Net income (loss)	(122,452		)	(61,760		)	(184,212		)	(409,958		)	(61,760		)	(471,718		)
Comprehensive income (loss)	(128,111		)	(61,760		)	(189,871		)	(433,507		)	(61,760		)	(495,267		)
Earnings (loss) per common share - basic	$	(0.69	)	$	(0.36	)	$	(1.05	)	$	(2.33	)	$	(0.35	)	$	(2.68	)
Earnings (loss) per common share - diluted	$	(0.69	)	$	(0.36	)	$	(1.05	)	$	(2.33	)	$	(0.35	)	$	(2.68	)

Condensed Consolidated Statements of Cash Flows



	For the nine months ended September 30, 2015
	Previously Reported			Adjustments		As Restated

	(in thousands)
Net loss	$	(409,958	)	(61,760	)	$	(471,718	)
Impairment expense	180,169			61,760		241,929

There was no effect on the total net cash provided by operating activities included in the condensed consolidated statement of cash flows for the nine months ended September 30, 2015.