Discontinued Operations

We have divested 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 consolidated balance sheets for all periods presented.

Summarized results from discontinued operations were as follows:



	For the Year
	2017			2016			2015

Revenues	$	15		$	5,862		$	43,845
Cost of oil and gas producing activities	(52		)	(6,578		)	(221,402		)
Other operating expenses	226			(7,754		)	(10,363		)
Income (loss) from discontinued operations before income taxes	$	189		$	(8,470	)	$	(187,920	)
Gain (loss) on sale of assets before income taxes	(197		)	(13,664		)	(706		)
Income tax benefit	46,039			5,269			2,496
Income (loss) from discontinued operations, net of taxes	$	46,031		$	(16,865	)	$	(186,130	)

In third quarter 2017, we sold the common stock of Forestar Petroleum Corporation for $100,000. This transaction completed the sale of all our oil and gas assets and related entities. This transaction resulted in a significant tax loss, and the corresponding tax benefit is reported in discontinued operations in 2017.

In 2016, we recorded a net loss of $13,664,000 on the sale of 199,263 net mineral acres leased from others and 379 gross (95 net) producing oil and gas working interest wells in Nebraska, Kansas, Oklahoma and North Dakota for total net proceeds of $80,374,000, which includes $3,269,000 in reimbursement of capital costs incurred on in-progress wells that were assumed by the buyer. Other operating expenses in 2017 include a benefit of $1,043,000 due to a reduction of an accrual resulting from a change in estimate related to potential environmental liabilities to plug and abandon certain oil and gas wells in Wyoming. Other operating expenses in 2016 include loss contingency charges of $2,990,000 related to litigation and $1,155,000 related to potential environmental liabilities to plug and abandon certain oil and gas wells in Wyoming.

In 2015, we recorded a net loss of $706,000 on the sale of 109,000 net mineral acres leased from others and the disposition of 39 gross (7 net) producing oil and gas wells in Nebraska, Texas, Colorado, North Dakota and Oklahoma for total net proceeds of $17,800,000.

Cost of sales includes non-cash impairment charges of $0 in 2017, $612,000 in 2016 and $163,029,000 in 2015 related to our proved properties and unproved leasehold oil and gas working interests.

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



	At Year-End
	2017		2016
	(In thousands)
Assets of Discontinued Operations:
Receivables, net of allowance for bad debt	$	—	$	6
Prepaid expenses	—		8
	$	—	$	14

Liabilities of Discontinued Operations:
Accounts payable	$	—	$	67
Other accrued expenses	—		5,228
	$	—	$	5,295

Cash (used in) or provided by operating activities and investing activities of discontinued operations are as follows:



	For the Year
	2017			2016			2015
	(In thousands)
Operating activities:
Asset impairments	$	—		$	612		$	105,337
Changes in accounts payable and other accrued liabilities	(3,000		)	—			—
Dry hole and unproved leasehold impairment charges	—			—			67,639
Loss (gain) on sale of assets	197			13,664			706
Depreciation, depletion and amortization	—			2,202			28,391
	$	(2,803	)	$	16,478		$	202,073

Investing activities:
Oil and gas properties and equipment	$	—		$	(579	)	$	(49,717	)
Proceeds from sales of assets	200			77,105			17,800
	$	200		$	76,526		$	(31,917	)