Subsidiary Guarantors (Tables)

12 Months Ended

Dec. 31, 2013



Condensed Consolidating Balance Sheets
	December 31, 2013
		Parent Co-Issuer		Subsidiary Co-Issuer		Guarantor		Non-Guarantor		Eliminations		Consolidated
Assets
Current assets
Cash	$	78	$	-	$	10,575	$	2,707	$	-	$	13,360
Accounts receivable		-		-		55,073		2,939		(570)		57,442
Due from affiliates		234,746		-		-		-		(230,831)		3,915
Derivative instruments		-		-		27,485		-		-		27,485
Prepaid and other current assets		-		-		1,718		141		-		1,859
Total current assets		234,824		-		94,851		5,787		(231,401)		104,061
Noncurrent assets
Oil and natural gas properties and other property and equipment, net		-		-		1,591,015		13,968		-		1,604,983
Derivative instruments		-		-		62,131		-		-		62,131
Investment in subsidiaries		711,734		-		16,478		-		(728,212)		-
Other assets		4,663		-		20,176		19,913		-		44,752
Total noncurrent assets		716,397		-		1,689,800		33,881		(728,212)		1,711,866
Total assets	$	951,221	$	-	$	1,784,651	$	39,668	$	(959,613)	$	1,815,927

Liabilities and Partners' Capital
Current liabilities
Current portions of asset retirement obligations	$	-	$	-	$	4,310	$	-	$	-	$	4,310
Due to affiliates		-		-		230,831		-		(230,831)		-
Derivative instruments		-		-		11,233		-		-		11,233
Accrued and other liabilities		25,718		-		52,100		1,797		(570)		79,045
Total current liabilities		25,718		-		298,474		1,797		(231,401)		94,588
Noncurrent liabilities
Long-term debt		296,593		-		615,000		-		-		911,593
Derivative instruments		-		-		6,251		-		-		6,251
Asset retirement obligations		-		-		145,893		5,118		-		151,011
Other liabilities		-		-		7,299		7,726		-		15,025
Total noncurrent liabilities		296,593		-		774,443		12,844		-		1,083,880
Partners' capital
QR Energy, LP partners' capital		628,910		-		711,734		25,027		(736,761)		628,910
Noncontrolling interest		-		-		-		-		8,549		8,549
Total partners' capital		628,910		-		711,734		25,027		(728,212)		637,459
Total liabilities and partners' capital	$	951,221	$	-	$	1,784,651	$	39,668	$	(959,613)	$	1,815,927

Condensed Consolidating Statements of Operations



Condensed Consolidating Statements of Operations

		Parent Co-Issuer		Subsidiary Co-Issuer		Guarantor		Non-Guarantor		Eliminations		Consolidated
Year Ended December 31, 2013
Total revenues	$	-	$	-	$	447,077	$	10,262	$	(1,710)	$	455,629
Expenses
Production and disposal and related expenses		-		-		172,998		9,410		(1,710)		180,698
Depreciation, depletion and amortization		-		-		115,039		145		-		115,184
General and administrative		7,101		-		34,800		-		-		41,901
Accretion of asset retirement obligations and acquisition and transaction costs		-		-		8,831		112		-		8,943
Total expenses		7,101		-		331,668		9,667		(1,710)		346,726
Operating income		(7,101)		-		115,409		595		-		108,903
Gain (loss) on commodity derivative contracts, net		-		-		(1,217)		-		-		(1,217)
Interest expense, net, income tax expense and other income, net		(29,468)		-		(17,574)		984		-		(46,058)
Equity in earnings		97,534		-		916		-		(98,450)		-
Net (loss) income		60,965		-		97,534		1,579		(98,450)		61,628
Less: Net income attributable to noncontrolling interest		-		-		-		-		663		663
Net income (loss) attributable to QR Energy, LP	$	60,965	$	-	$	97,534	$	1,579	$	(99,113)	$	60,965

Condensed Consolidating Statements Of Comprehensive Income



Condensed Consolidating Statements of Comprehensive Income

		Parent Co-Issuer		Subsidiary Co-Issuer		Guarantor		Non-Guarantor		Eliminations		Consolidated
Year Ended December 31, 2013
Net income (loss)	$	60,965	$	-	$	97,534	$	1,579	$	(98,450)	$	61,628
Other comprehensive income, net of tax:
Reclassification adjustment for available-for-sale securities								(18)				(18)
Change in fair value of available-for-sale securities		340		-		340		631		(680)		631
Pension and postretirement benefit:
Actuarial gain		2,404				2,404		4,061		(4,808)		4,061
Total other comprehensive income		2,744		-		2,744		4,674		(5,488)		4,674
Total comprehensive income (loss)		63,709		-		100,278		6,253		(103,938)		66,302
Less: Comprehensive income attributable to noncontrolling interest		-		-		-		-		2,593		2,593
Comprehensive income (loss) attributable to QR Energy, LP	$	63,709	$	-	$	100,278	$	6,253	$	(106,531)	$	63,709

Condensed Consolidating Statements of Cash Flows



Condensed Consolidating Statements of Cash Flows

		Parent Co-Issuer		Subsidiary Co-Issuer		Guarantor		Non-Guarantor		Eliminations		Consolidated
Year Ended December 31, 2013
Net cash (used in) provided by operating activities	$	(22,103)	$	-	$	222,997	$	1,251	$	-	$	202,145
Cash flows from investing activities
Additions to oil and natural gas properties		-		-		(87,936)		(311)		-		(88,247)
Acquisitions		-		-		(131,715)		3,481		-		(128,234)
Distributions from subsidiaries		167,470		-		-		-		(167,470)		-
Proceeds from sale of available-for-sale securities		-		-		-		8,535		-		8,535
Purchases of available-for-sale securities		-		-		-		(10,249)		-		(10,249)
Net cash (used in) provided by investing activities		167,470		-		(219,651)		1,456		(167,470)		(218,195)
Cash flows from financing activities
Distributions to unitholders		(141,582)		-		-				-		(141,582)
Proceeds from bank borrowings		-		-		180,000		-		-		180,000
Repayments on bank/intercompany borrowings		-		-		(35,000)		-		-		(35,000)
Distributions to Parent		-		-		(167,470)		-		167,470		-
Other		(3,775)		-		(2,069)		-		-		(5,844)
Net cash (used in) provided by financing activities		(145,357)		-		(24,539)		-		167,470		(2,426)
Net increase (decrease) in cash		10		-		(21,193)		2,707		-		(18,476)
Cash at beginning of period		68		-		31,768		-		-		31,836
Cash at end of period	$	78	$	-	$	10,575	$	2,707	$	-	$	13,360