BUSINESS SEGMENT INFORMATION

9 Months Ended

Sep. 30, 2012

BUSINESS SEGMENT INFORMATION

10. BUSINESS SEGMENT INFORMATION

Apache is engaged in a single line of business. Both domestically and internationally, the Company explores for, develops, and produces natural gas, crude oil and natural gas liquids. At September 30, 2012, the Company had production in six countries: the United States, Canada, Egypt, Australia, offshore the United Kingdom (U.K.) in the North Sea, and Argentina. Apache also pursues exploration interests in other countries that may over time result in reportable discoveries and development opportunities. Financial information for each country is presented below:

	United States		Canada			Egypt		Australia		North Sea		Argentina		Other International			Total
	(In millions)
For the Quarter Ended September 30, 2012
Oil and Gas Production Revenues	$	1,533	$	318		$	1,143	$	397	$	624	$	126	$	—		$	4,141
Operating Income (Loss) (1)	$	495	$	(744	)	$	781	$	231	$	236	$	6	$	(7	)	$	998
Other Income (Expense):
Other																		38
General and administrative																		(124	)
Merger, acquisitions & transition																		(7	)
Financing costs, net																		(40	)
Income Before Income Taxes																	$	865
For the Nine Months Ended September 30, 2012
Oil and Gas Production Revenues	$	4,525	$	966		$	3,403	$	1,211	$	2,060	$	389	$	—		$	12,554
Operating Income (Loss) (1)	$	1,692	$	(1,903	)	$	2,380	$	683	$	752	$	51	$	(14	)	$	3,641
Other Income (Expense):
Other																		133
General and administrative																		(384	)
Merger, acquisitions & transition																		(29	)
Financing costs, net																		(125	)
Income Before Income Taxes																	$	3,236
Total Assets	$	29,786	$	7,349		$	7,208	$	5,876	$	6,581	$	1,823	$	187		$	58,810
For the Quarter Ended September 30, 2011
Oil and Gas Production Revenues	$	1,548	$	388		$	1,214	$	461	$	547	$	124	$	—		$	4,282
Operating Income (Loss)(1)	$	718	$	81		$	893	$	288	$	222	$	19	$	(20	)	$	2,201
Other Income (Expense):
Other																		46
General and administrative																		(112	)
Merger, acquisitions & transition																		(4	)
Financing costs, net																		(37	)
Income Before Income Taxes																	$	2,094
For the Nine Months Ended September 30, 2011
Oil and Gas Production Revenues	$	4,485	$	1,223		$	3,615	$	1,303	$	1,549	$	340	$	—		$	12,515
Operating Income (Loss) (1)	$	2,086	$	264		$	2,679	$	823	$	685	$	50	$	(46	)	$	6,541
Other Income (Expense):
Other																		76
General and administrative																		(327	)
Merger, acquisitions & transition																		(15	)
Financing costs, net																		(123	)
Income Before Income Taxes																	$	6,152
Total Assets	$	23,039	$	8,443		$	6,574	$	4,446	$	3,166	$	1,732	$	82		$	47,482

⁽¹⁾  Operating Income (Loss) consists of oil and gas production revenues less depreciation, depletion and amortization, asset retirement obligation accretion, lease operating expenses, gathering and transportation costs, and taxes other than income. Canada’s operating loss for the three and nine months ended September 30, 2012, includes additional depletion of $721 million and $1.9 billion, respectively, to write-down the carrying value of oil and gas properties.