Reduction In Workforce

3 Months Ended

Mar. 31, 2016

(3) REDUCTION IN WORKFORCE

In January 2016, the Company announced a 40% workforce reduction of approximately 1,100 employees as a result of lower anticipated drilling activity. This reduction was substantially complete as of March 31, 2016. The following table presents a summary of the restructuring charges for the three months ended March 31, 2016:



	For the three months
	ended March 31, 2016
	(in millions)

Severance (including payroll taxes)	$	42
Stock-based compensation		18
Benefits		3
Outplacement services, other		1
Total restructuring charges (1)	$	64

(1)

Total restructuring charges were $61 million and $3 million for the Company’s E&P and Midstream segments, respectively.

As of March 31, 2016, the Company recorded a liability of $24 million for severance payments (including payroll taxes) which is reflected in accounts payable on the condensed consolidated balance sheets. A substantial portion of this liability will be paid in April 2016.