Discontinued Operations

3 Months Ended

Mar. 31, 2017

Discontinued Operations and Disposal Groups [Abstract]

Discontinued Operations

Discontinued Operations

At year-end 2016, we had divested substantially all of our oil and gas working interest properties. As a result of this significant change in our operations, we have reported the results of operations and financial position of these assets as discontinued operations within the consolidated statements of income (loss) and comprehensive income (loss) and consolidated balance sheets for all periods presented.

Summarized results from discontinued operations were as follows:

	First Quarter
	2017			2016
	(In thousands)
Revenues	$	9		$	4,270
Cost of sales	(6		)	(4,964		)
Other operating expenses	(54		)	(1,323		)
Loss from discontinued operations before income taxes	$	(51	)	$	(2,017	)
Loss on sale of assets before income taxes	—			(10,977		)
Income tax benefit	469			4,778
Income (loss) from discontinued operations, net of taxes	$	418		$	(8,216	)

In first quarter 2016, we recorded a net loss of $10,977,000 on the sale of 190,960 net mineral acres leased from others and 185 gross (66 net) producing oil and gas working interest wells in Nebraska, Kansas, Oklahoma and North Dakota for total net proceeds of $32,227,000, which includes $3,269,000 in reimbursement of capital costs incurred on in-progress wells that were assumed by the buyer. A significant portion of the net loss on sale, $7,244,000, is related to write-off of allocated goodwill to sold producing oil and gas properties.

The major classes of assets and liabilities of discontinued operations at first quarter-end 2017 and year-end 2016 are as follows:

	First Quarter-End		Year-End
	2017		2016
	(In thousands)
Assets of Discontinued Operations:
Receivables, net of allowance for bad debt	$	5	$	6
Prepaid expenses	—		8
	$	5	$	14
Liabilities of Discontinued Operations:
Accounts payable	$	—	$	67
Other accrued expenses	1,163		5,228
	$	1,163	$	5,295

Significant operating activities and investing activities of discontinued operations are as follows:

	First Quarter
	2017			2016
	(In thousands)
Operating activities:
Accounts payable and other accrued liabilities	(3,000		)	—
Loss on sale of assets	—			10,977
Depreciation, depletion and amortization	—			1,809
	$	(3,000	)	$	12,786
Investing activities:
Oil and gas properties and equipment	$	—		$	(426	)
Proceeds from sales of assets	—			28,958
	$	—		$	28,532