Derivative Financial Instruments (Tables)

6 Months Ended

Jun. 30, 2011

Derivative Financial Instruments

Schedule Of Derivative Financial Instruments

Production Period	Price Swaps		Price Collars			Call Options Sold
Period	Volume (Bbls/d)	Weighted Average Price ($/Bbl)	Volume (Bbls/d)	Weighted Average Floor Price ($/Bbl)	Weighted Average Ceiling Price ($/Bbl)	Volume (Bbls/d)	Weighted Average Price ($/Bbl)
Q3-Q4 2011	—	—	45,000	$75.00	$108.89	19,500	$95.00
Q1-Q4 2012	22,000	$107.17	54,000	$85.74	$126.42	19,500	$95.00
Q1-Q4 2013	—	—	7,000	$90.00	$125.12	—	—

As of June 30, 2011, Devon had the following open natural gas derivative positions. Devon's natural gas derivative swaps, collars and call options settle against the Inside Ferc first of the month Henry Hub index.

Production Period	Price Swaps		Price Collars			Call Options Sold
Period	Volume (MMBtu/d)	Weighted Average Price ($/MMBtu)	Volume (MMBtu/d)	Weighted Average Floor Price ($/MMBtu)	Weighted Average Ceiling Price ($/MMBtu)	Volume (MMBtu/d)	Weighted Average Price ($/MMBtu)
Q3-Q4 2011	712,500	$5.51	215,000	4.75	5.17	—	—
Q1-Q4 2012	325,000	$5.09	490,000	4.75	5.57	487,500	$6.00

Basis Swaps
Production Period	Index	Volume (MMBtu/d)	Weighted Average Differential to Henry Hub ($/MMBtu)
Q3-Q4 2011	Panhandle Eastern Pipeline	150,000	$(0.33)

As of June 30, 2011, Devon had the following open NGL derivative positions:

Basis Swaps
Production Period	Pay	Volume (Bbls/d)	Weighted Average Differential to WTI ($/Bbl)
Q3-Q4 2011	Natural Gasoline	416	$(9.75)
Q1-Q4 2012	Natural Gasoline	500	$(10.10)
Q1-Q4 2013	Natural Gasoline	500	$(6.80)

Interest Rate Derivatives

As of June 30, 2011, Devon had the following open interest rate derivative positions:

Fixed-to-Floating Swaps
Notional	Fixed Rate Received	Variable Rate Paid	Expiration
(In millions)
$           300	4.30%	Six month LIBOR	July 18, 2011
100	1.90%	Federal funds rate	August 3, 2012
500	3.90%	Federal funds rate	July 18, 2013
250	3.85%	Federal funds rate	July 22, 2013
$        1,150	3.82%

Forward Starting Swaps
Notional	Fixed Rate Paid	Variable Rate Received	Expiration
(In millions)
$           950	3.92%	Three month LIBOR	July 7, 2011

U.S. Treasury Locks
Notional	Fixed Rate Paid	Variable Rate Received	Expiration
(In millions)
$           350	1.56%	Five year U.S. Treasury	July 6, 2011
300	2.96%	Ten year U.S. Treasury	July 6, 2011
$           650	2.21%

Schedule Of Derivative Financial Instruments Included In Consolidated Balance Sheets

	Balance Sheet Caption	June 30, 2011	December 31, 2010
		(In millions)
Asset derivatives:
Commodity derivatives	Other current assets	$                      240	$                      248
Commodity derivatives	Other long-term assets	81	1
Interest rate derivatives	Other current assets	78	100
Interest rate derivatives	Other long-term assets	33	40
Total asset derivatives		$                      432	$                      389
Liability derivatives:
Commodity derivatives	Other current liabilities	$                        83	$                        50
Commodity derivatives	Other long-term liabilities	78	142
Total liability derivatives		$                      161	$                      192

Schedule Of Derivative Financial Instruments Included In The Consolidated Statements Of Operations

	Three Months Ended June 30,		Six Months Ended June 30,
	2011	2010	2011	2010
	(In millions)
Cash settlements:
Commodity derivatives	$               59	$             252	$             145	$             348
Interest rate derivatives	5	4	21	20
Total cash settlements	64	256	166	368
Unrealized gains (losses):
Commodity derivatives	357	(207)	103	317
Interest rate derivatives	(30)	(85)	(29)	(86)
Total unrealized gains (losses)	327	(292)	74	231
Net gain (loss) recognized on statement of operations	$             391	$              (36)	$             240	$             599