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Table of Contents HOLLYFRONTIER CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Continued
79
Derivatives in Net Asset Position Derivatives in Net Liability Position
Gross Assets
Gross
Liabilities
Offset in
Balance Sheet
Net Assets
Recognized in
Balance Sheet Gross
Liabilities
Gross Assets
Offset in
Balance Sheet
Net
Liabilities
Recognized in
Balance Sheet
(In thousands)
December 31, 2014
Derivatives designated as cash flow hedging instruments:
Commodity price swap
contracts $ 173,658 $ (142,115) $ 31,543 $ 21,441 $ — $ 21,441
Interest rate swap contracts 1,019 — 1,019 1,065 — 1,065
$ 174,677 $ (142,115) $ 32,562 $ 22,506 $ — $ 22,506
Derivatives not designated as cash flow hedging instruments:
Commodity price swap
contracts $ 17,630 $ (12,942) $ 4,688 $ 20,398 $ (17,007) $ 3,391
NYMEX futures contracts 17,619 — 17,619 — — —
$ 35,249 $ (12,942) $ 22,307 $ 20,398 $ (17,007) $ 3,391
Total net balance $ 54,869 $ 25,897
Balance sheet classification: Prepayment and other $ 53,850
Intangibles and other 1,019 Other long-term liabilities $ 25,897
$ 54,869 $ 25,897
At December 31, 2015, we had a pre-tax net unrealized loss of $40.9 million classified in accumulated other comprehensive loss
that relates to all accounting hedges having contractual maturities through 2017. Assuming commodity prices and interest rates
remain unchanged, an unrealized loss of $20.9 million will be effectively transferred from accumulated other comprehensive loss
into the statement of income as the hedging instruments contractually mature over the next twelve-month period.
NOTE 13: Income Taxes
The provision for income taxes is comprised of the following:
Years Ended December 31,
2015 2014 2013
(In thousands)
Current
Federal $ 480,446 $ 294,509 $ 270,024
State 71,750 40,325 7,148
Deferred
Federal (127,714)(168,756) 94,896
State (18,422)(24,906) 19,508
$ 406,060 $ 141,172 $ 391,576