Acquisitions and Divestitures

9 Months Ended

Sep. 30, 2015

Acquisitions. On September 4, 2015, we acquired approximately 12,000 net acres adjacent to our existing Eagle Ford Shale acreage for an adjusted cash purchase price of approximately $114 million. Our consolidated balance sheet presented as of September 30, 2015, reflects our preliminary allocation of the purchase price to the underlying acquired properties. No goodwill or bargain purchase was recorded on the acquisition.

Discontinued Operations. In 2014, we reflected as discontinued operations certain assets sold, including domestic natural gas assets in the Arklatex and South Louisiana Wilcox areas and our Brazilian operations. We classified the results of operations of these assets prior to their sale in 2014 as income (loss) from discontinued operations. Summarized operating results of our discontinued operations were as follows:



	Quarter ended September 30, 2014			Nine months ended September 30, 2014
	(in millions)
Operating revenues	$	14		$	82

Operating expenses
Transportation costs	—			5
Lease operating expense	6			31
Depreciation, depletion and amortization	—			8
Impairment charges⁽¹⁾	3			18
Other expense	4			17
Total operating expenses	13			79

Loss on sale of assets	(1		)	—
Other (expense) income	(1		)	4
(Loss) income from discontinued operations before income taxes	(1		)	7
Income tax expense	—			4
(Loss) income from discontinued operations, net of tax	$	(1	)	$	3

(1) During the quarter and nine months ended September 30, 2014, we recorded $3 million and $18 million in impairment charges related to the sale of our Brazilian operations.