Fair Value Measurements (Tables)

9 Months Ended

Jun. 30, 2013

Recurring Fair Value Measures Of Assets And Liabilities



Recurring Fair Value Measures	At fair value as of June 30, 2013
							Netting
(Thousands of Dollars)	Level 1		Level 2		Level 3		Adjustments⁽¹⁾		Total⁽¹⁾
Assets:
Cash Equivalents – Money Market Mutual Funds	$	122,024	$	-	$	-	$	-	$	122,024
Derivative Financial Instruments:
Commodity Futures Contracts – Gas		2,252		-		-		(1,806)		446
Over the Counter Swaps – Gas		-		63,255		-		(5,093)		58,162
Over the Counter Swaps – Oil		-		9,078		17		(3,260)		5,835
Other Investments:
Balanced Equity Mutual Fund		30,125		-		-		-		30,125
Common Stock – Financial Services Industry		6,331		-		-		-		6,331
Other Common Stock		295		-		-		-		295
Hedging Collateral Deposits		694		-		-		-		694
Total	$	161,721	$	72,333	$	17	$	(10,159)	$	223,912

Liabilities:
Derivative Financial Instruments:
Commodity Futures Contracts – Gas	$	1,806	$	-	$	-	$	(1,806)	$	-
Over the Counter Swaps – Gas		-		2,626		-		(5,093)		(2,467)
Over the Counter Swaps – Oil		-		-		7,944		(3,260)		4,684
Total	$	1,806	$	2,626	$	7,944	$	(10,159)	$	2,217

Total Net Assets/(Liabilities)	$	159,915	$	69,707	$	(7,927)	$	-	$	221,695



Recurring Fair Value Measures	At fair value as of September 30, 2012
							Netting
(Thousands of Dollars)	Level 1		Level 2		Level 3		Adjustments⁽¹⁾		Total⁽¹⁾
Assets:
Cash Equivalents – Money Market Mutual Funds	$	46,113	$	-	$	-	$	-	$	46,113
Derivative Financial Instruments:
Commodity Futures Contracts – Gas		4,348		-		-		(2,760)		1,588
Over the Counter Swaps – Gas		-		41,751		-		(15,723)		26,028
Over the Counter Swaps – Oil		-		-		559		(559)		-
Other Investments:
Balanced Equity Mutual Fund		24,767		-		-		-		24,767
Common Stock – Financial Services Industry		4,758		-		-		-		4,758
Other Common Stock		272		-		-		-		272
Hedging Collateral Deposits		364		-		-		-		364
Total	$	80,622	$	41,751	$	559	$	(19,042)	$	103,890

Liabilities:
Derivative Financial Instruments:
Commodity Futures Contracts – Gas	$	2,760	$	-	$	-	$	(2,760)	$	-
Over the Counter Swaps – Gas		-		19,932		-		(15,723)		4,209
Over the Counter Swaps – Oil		-		654		20,223		(559)		20,318
Total	$	2,760	$	20,586	$	20,223	$	(19,042)	$	24,527

Total Net Assets/(Liabilities)	$	77,862	$	21,165	$	(19,664)	$	-	$	79,363

⁽¹⁾ Netting Adjustments represent the impact of legally-enforceable master netting arrangements that allow the Company to net gain and loss positions held with the same counterparties. The net asset or net liability for each counterparty is recorded as an asset or liability on the Company’s balance sheet. In the tables above, presenting asset and liability information by gas and oil positions may result in negative assets or negative liabilities in Total column when a counterparty has issued both gas and oil swaps to the Company.

Fair Value Measurements Using Unobservable Inputs (Level 3)




Fair Value Measurements Using Unobservable Inputs (Level 3)
(Thousands of Dollars)			Total Gains/Losses
			(Gains)/			Gains/(Losses)
			Losses Realized			Unrealized and Included		Transfer
	April 1,		and Included			in Other Comprehensive		In/Out of		June 30,
	2013		in Earnings			Income (Loss)		Level 3		2013
Derivative
Financial Instruments⁽²⁾	$	(16,606)	$	2,471	(1)	$	6,208	$	-	$	(7,927)

⁽¹⁾Amounts are reported in Operating Revenues in the Consolidated Statement of Income for the three months ended June 30, 2013.

⁽²⁾Derivative Financial Instruments are shown on a net basis.




Fair Value Measurements Using Unobservable Inputs (Level 3)
(Thousands of Dollars)			Total Gains/Losses
			(Gains)/			Gains/(Losses)
			Losses Realized			Unrealized and Included		Transfer
	October 1,		and Included			in Other Comprehensive		In/Out of		June 30,
	2012		in Earnings			Income (Loss)		Level 3		2013
Derivative
Financial Instruments⁽²⁾	$	(19,664)	$	9,271	(1)	$	2,466	$	-	$	(7,927)

⁽¹⁾Amounts are reported in Operating Revenues in the Consolidated Statement of Income for the nine months ended June 30, 2013.

⁽²⁾Derivative Financial Instruments are shown on a net basis.



Fair Value Measurements Using Unobservable Inputs (Level 3)
(Thousands of Dollars)			Total Gains/Losses
			(Gains)/			Gains/(Losses)
			Losses Realized			Unrealized and Included		Transfer
	April 1,		and Included			In Other Comprehensive		In/Out of		June 30,
	2012		in Earnings			Income (Loss)		Level 3		2012
Derivative
Financial Instruments⁽²⁾	$	(68,754)	$	10,392	(1)	$	41,814	$	-	$	(16,548)

⁽¹⁾Amounts are reported in Operating Revenues in the Consolidated Statement of Income for the three months ended June 30, 2012.

⁽²⁾Derivative Financial Instruments are shown on a net basis.



Fair Value Measurements Using Unobservable Inputs (Level 3)
(Thousands of Dollars)			Total Gains/Losses
			(Gains)/			Gains/(Losses)
			Losses Realized			Unrealized and Included		Transfer
	October 1,		and Included			In Other Comprehensive		In/Out of		June 30,
	2011		in Earnings			Income (Loss)		Level 3		2012
Derivative
Financial Instruments⁽²⁾	$	(5,410)	$	36,526	(1)	$	(47,664)	$	-	$	(16,548)

⁽¹⁾Amounts are reported in Operating Revenues in the Consolidated Statement of Income for the nine months ended June 30, 2012.

⁽²⁾Derivative Financial Instruments are shown on a net basis.

- Definition

Tabular disclosure of the fair value measurement of assets using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets) and gains or losses recognized in other comprehensive income (loss), and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs), by class of asset.

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