Restructuring Costs

6 Months Ended

Jun. 30, 2011

Restructuring Costs

Restructuring Costs

13.  Restructuring Costs 

In the fourth quarter of 2009, Devon announced plans to divest its offshore assets. As of June 30, 2011, Devon had divested all of its U.S. Offshore assets and substantially all of its International assets.

Through the end of the second quarter of 2011, Devon had incurred $204 million of restructuring costs associated with these divestitures. This amount is comprised of $120 million of employee severance costs, $81 million associated with abandoned office leases and $3 million of other miscellaneous costs.

Financial Statement Presentation

The schedule below summarizes activity and balances associated with Devon's restructuring liabilities.

	Continuing Operations			Discontinued Operations
	Other Current Liabilities	Other Long-Term Liabilities	Total	Other Current Liabilities	Other Long-Term Liabilities	Total
	(In millions)
Balance as of December 31, 2010	$            31	$            51	$            82	$            16	$            —	$            16
Cash severance settled	(16)	—	(16)	(4)	—	(4)
Lease obligations settled	(1)	(7)	(8)	—	—	—
Lease obligations revision	(1)	(1)	(2)	—	—	—
Cash severance revision	1	—	1	(2)	—	(2)
Balance as of June 30, 2011	$            14	$            43	$            57	$            10	$            —	$            10

Balance as of December 31, 2009	$            61	$            —	$            61	$            23	$            —	$            23
Cash severance settled	(5)	—	(5)	(1)	—	(1)
Cash severance revision	(5)	—	(5)	(3)	—	(3)
Balance as of June 30, 2010	$            51	$            —	$            51	$            19	$            —	$            19

The schedule below summarizes the components of restructuring costs in the accompanying 2011 and 2010 consolidated statement of operations

	Three Months Ended June 30, 2011				Six Months Ended June 30, 2011
	Continuing Operations	Discontinued Operations		Total	Continuing Operations	Discontinued Operations		Total
	(In millions)
Cash severance	$              1	$            (8)	$            (7)		$              1	$            (2)	$             (1)
Asset impairments	2	—	2		2	—	2
Lease obligations	2	—	2		(2)	—	(2)
Share-based awards	—	—	—		(1)	—	(1)
Other	1	—	1		1	—	1
Restructuring costs	$              6	$            (8)	$            (2)		$              1	$            (2)	$             (1)

	Three Months Ended June 30, 2010				Six Months Ended June 30, 2010
	Continuing Operations	Discontinued Operations		Total	Continuing Operations	Discontinued Operations		Total
	(In millions)
Cash severance	$             (5)	$             (3)	$             (8)		$             (5)	$             (3)	$             (8)
Share-based awards	(4)	(2)	(6)		(4)	(2)	(6)
Other	1	—	1		1	—	1
Restructuring costs	$             (8)	$             (5)	$           (13)		$             (8)	$             (5)	$           (13)

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