Investments

A summary of our investments is presented below, including our approximate ownership percentage as of June 30, 2013.



			Carrying Value
	Approximate Ownership %	Accounting Method	June 30, 2013		December 31, 2012
			($ in millions)
FTS International, Inc.	30%	Equity	$	329	$	298
Chaparral Energy, Inc.	20%	Equity	139		141
Sundrop Fuels, Inc.	50%	Equity	101		111
Twin Eagle Resource Management, LLC	30%	Equity	30		34
Maalt Specialized Bulk, LLC	49%	Equity	13		13
Clean Energy Fuels Corp. (common stock)	1%	Fair Value	13		12
Clean Energy Fuels Corp. (convertible notes)	—	Cost	—		100
Gastar Exploration Ltd.	—	Fair Value	—		8
Other	—	—	11		11
Total investments			$	636	$	728

FTS International, Inc. FTS International, Inc. (FTS), based in Fort Worth, Texas, is a privately held company which, through its subsidiaries, provides hydraulic fracturing and other services to oil and gas companies.

During the Current Period, we recorded positive equity method adjustments, prior to intercompany profit eliminations, of $5 million for our share of FTS’s net income and recorded accretion adjustments of $23 million related to the excess of our underlying equity in net assets of FTS over our carrying value. The carrying value of our investment in FTS was less than our underlying equity in net assets by approximately $344 million as of June 30, 2013, of which $31 million was attributed to goodwill. During the Current Period, the value attributed to goodwill decreased by $265 million, which represents our proportionate share, net of tax, of an impairment recorded by FTS related to its goodwill. The value not attributed to goodwill is being accreted over the nine-year estimated useful lives of the underlying assets. Additionally, in the Current Period, we purchased FTS common stock offered to existing stockholders for $3 million.

Chaparral Energy, Inc. Chaparral Energy, Inc., based in Oklahoma City, Oklahoma, is a private independent oil and natural gas company engaged in the production, acquisition and exploitation of oil and natural gas properties.

In the Current Period, we recorded a positive equity method adjustment of $3 million related to our share of Chaparral’s net income, a $3 million charge related to our share of its other comprehensive income, and an amortization adjustment of $2 million related to our carrying value in excess of our underlying equity in net assets. The carrying value of our investment in Chaparral was in excess of our underlying equity in net assets by approximately $50 million as of June 30, 2013. This excess is attributed to the natural gas and oil reserves held by Chaparral and is being amortized over the estimated life of these reserves based on a unit of production rate.

Sundrop Fuels, Inc. Sundrop Fuels, Inc., is a privately held cellulosic biofuels company based in Longmont, Colorado, that is constructing a nonfood biomass-based “green gasoline” plant.

In the Current Period, we recorded a $10 million charge related to our share of Sundrop’s net loss. The carrying value of our investment in Sundrop was in excess of our underlying equity in net assets by approximately $53 million as of June 30, 2013. This excess will be amortized over the life of the plant, once it is placed into service.

Twin Eagle Resource Management LLC. Twin Eagle Resource Management LLC is a natural gas trading and management firm. During the Current Period, we recorded a $4 million charge related to our share of Twin Eagle’s net loss.

Maalt Specialized Bulk, LLC. Maalt Specialized Bulk, LLC (Maalt), is engaged in bulk transportation services of sand. During the Current Period, we recorded a nominal positive equity method adjustment related to our share of Maalt's net income.

Clean Energy Fuels Corp. Clean Energy Fuels Corp. (Nasdaq:CLNE) (Clean Energy), based in Seal Beach, California, builds and operates compressed natural gas (CNG) and liquefied natural gas (LNG) fueling stations; manufactures CNG and LNG equipment and technologies; converts vehicles to natural gas; and develops renewable natural gas production facilities.

As of June 30, 2013, we had an investment in Clean Energy common stock of $10 million which was classified as available-for-sale and reported at fair value. In the Current Period, the carrying value of our investment increased by $1 million as the common stock price of Clean Energy increased from $12.45 per share as of December 31, 2012 to $13.20 per share as of June 30, 2013. Through June 30, 2013, we had recorded a mark-to-market pre-tax gain of $3 million in accumulated other comprehensive income for this investment. Subsequent to June 30, 2013, we sold all of our shares of Clean Energy common stock for approximately $13 million.

In June 2013, we sold our $100 million investment in Clean Energy convertible notes for cash proceeds of $85 million. The buyer also assumed our commitment to purchase the third and final $50 million tranche of Clean Energy convertible notes. We recorded a $15 million loss related to this sale.

Gastar Exploration Ltd. Gastar Exploration Ltd. (NYSE MKT:GST) (Gastar), based in Houston, Texas, is an independent energy company engaged in the exploration, development and production of natural gas and oil in the U.S. In the Current Quarter, we sold our investment in Gastar for cash proceeds of $10 million.

Other. In June 2013, we sold an equity investment for cash proceeds of $6 million and recorded a $5 million gain associated with the transaction.