Segment Information (Note)

6 Months Ended

Jun. 30, 2015

Segment Reporting, Disclosure of Entity's Reportable Segments [Abstract]

Segment Information Disclosure

Segment Information

As of June 30, 2015, we have two reportable operating segments, each of which is managed separately because of the nature of its operations. The exploration and production operating segment is responsible for finding and producing oil, natural gas and NGL. The marketing, gathering and compression operating segment is responsible for marketing, gathering and compression of oil, natural gas and NGL. In addition, prior to the spin-off of our oilfield services business in June 2014, our former oilfield services operating segment was responsible for drilling, oilfield trucking, oilfield rentals, hydraulic fracturing and other oilfield services operations for both Chesapeake-operated wells and wells operated by third parties. Our former oilfield services segment’s historical financial results for periods prior to the spin-off continue to be included in our historical financial results as a component of continuing operations, as reflected in the table below.

Management evaluates the performance of our segments based upon income (loss) before income taxes. Revenues from the sale of oil, natural gas and NGL related to Chesapeake’s ownership interests by our marketing, gathering and compression operating segment are reflected as revenues within our exploration and production operating segment. These amounts totaled $1.204 billion, $2.188 billion, $2.437 billion and $4.596 billion for the Current Quarter, the Prior Quarter, the Current Period and the Prior Period respectively. Revenues generated by our former oilfield services operating segment for work performed for Chesapeake’s exploration and production operating segment were reclassified to the full cost pool based on Chesapeake’s ownership interest. Revenues reclassified totaled $274 million and $544 million for the Prior Quarter and the Prior Period, respectively. No income was recognized in our condensed consolidated statements of operations related to oilfield services performed for Chesapeake-operated wells.

The following table presents selected financial information for Chesapeake’s operating segments:

	Exploration and Production			Marketing, Gathering and Compression			Former Oilfield Services			Other			Intercompany Eliminations			Consolidated  Total
	($ in millions)
Three Months Ended June 30, 2015
Revenues	$	699		$	3,509		$	—		$	—		$	(1,175	)	$	3,033
Intersegment revenues	29			(1,204		)	—			—			1,175			—
Total revenues	$	728		$	2,305		$	—		$	—		$	—		$	3,033
Income (Loss) Before Income Taxes	$	(5,785	)	$	134		$	—		$	(31	)	$	86		$	(5,596	)
Three Months Ended June 30, 2014
Revenues	$	1,704		$	5,355		$	552		$	3		$	(2,462	)	$	5,152
Intersegment revenues	—			(2,188		)	(274		)	—			2,462			—
Total revenues	$	1,704		$	3,167		$	278		$	3		$	—		$	5,152
Income (Loss) Before Income Taxes	$	410		$	109		$	19		$	(20	)	$	(147	)	$	371
Six Months Ended June 30, 2015
Revenues	$	1,761		$	6,417		$	—		$	—		$	(2,385	)	$	5,793
Intersegment revenues	52			(2,437		)	—			—			2,385			—
Total revenues	$	1,813		$	3,980		$	—		$	—		$	—		$	5,793
Income (Loss) Before Income Taxes	$	(11,134	)	$	138		$	—		$	(45	)	$	353		$	(10,688	)
Six Months Ended June 30, 2014
Revenues	$	3,471		$	10,777		$	1,060		$	30		$	(5,140	)	$	10,198
Intersegment revenues	—			(4,596		)	(544		)	—			5,140			—
Total revenues	$	3,471		$	6,181		$	516		$	30		$	—		$	10,198
Income (Loss) Before Income Taxes	$	1,098		$	213		$	(16	)	$	39		$	(217	)	$	1,117
As of June 30, 2015
Total Assets	$	22,815		$	1,946		$	—		$	4,364		$	(527	)	$	28,598
As of December 31, 2014
Total Assets	$	35,381		$	1,978		$	—		$	4,283		$	(891	)	$	40,751