Chesapeake Energy 2010 Annual Report Download - page 118

CHESAPEAKE ENERGY CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
Years Ended December 31,
2010 2009 2008
($ in millions, except per share data)
REVENUES:
Natural gas and oil sales ................................... $ 5,647 $ 5,049 $ 7,858
Marketing, gathering and compression sales ................... 3,479 2,463 3,598
Service operations revenue ................................. 240 190 173
Total Revenues ......................................... 9,366 7,702 11,629
OPERATING COSTS:
Production expenses ...................................... 893 876 889
Production taxes .......................................... 157 107 284
General and administrative expenses ......................... 453 349 377
Marketing, gathering and compression expenses ............... 3,352 2,316 3,505
Service operations expense ................................. 208 182 143
Natural gas and oil depreciation, depletion and amortization ...... 1,394 1,371 1,970
Depreciation and amortization of other assets .................. 220 244 174
Impairment of natural gas and oil properties .................... — 11,000 2,800
(Gains) losses on sales of other property and equipment ......... (137) 38 —
Other impairments ........................................ 21 130 30
Restructuring costs ........................................ — 34 —
Total Operating Costs .................................... 6,561 16,647 10,172
INCOME (LOSS) FROM OPERATIONS ........................ 2,805 (8,945) 1,457
OTHER INCOME (EXPENSE):
Interest expense .......................................... (19) (113) (271)
Earnings (losses) from equity investees ....................... 227 (39) (38)
Losses on redemptions or exchanges of debt .................. (129) (40) (4)
Impairment of investments .................................. (16) (162) (180)
Other income ............................................. 16 11 27
Total Other Income (Expense) ............................. 79 (343) (466)
INCOME (LOSS) BEFORE INCOME TAXES .................... 2,884 (9,288) 991
INCOME TAX EXPENSE (BENEFIT):
Current income taxes ...................................... — 4 423
Deferred income taxes ..................................... 1,110 (3,487) (36)
Total Income Tax Expense (Benefit) ........................ 1,110 (3,483) 387
NET INCOME (LOSS) ....................................... 1,774 (5,805) 604
Net (income) attributable to noncontrolling interest .............. — (25) —
NET INCOME (LOSS) ATTRIBUTABLE TO CHESAPEAKE ....... 1,774 (5,830) 604
Preferred stock dividends ................................... (111) (23) (33)
Loss on conversion/exchange of preferred stock ................ — — (67)
NET INCOME (LOSS) AVAILABLE TO COMMON
STOCKHOLDERS ........................................ $ 1,663 $ (5,853) $ 504
EARNINGS (LOSS) PER COMMON SHARE:
Basic ................................................... $ 2.63 $ (9.57) $ 0.94
Diluted .................................................. $ 2.51 $ (9.57) $ 0.93
CASH DIVIDEND DECLARED PER COMMON SHARE ........... $ 0.30 $ 0.30 $ 0.2925
WEIGHTED AVERAGE COMMON AND COMMON EQUIVALENT
SHARES OUTSTANDING (in millions):
Basic ................................................... 631 612 536
Diluted .................................................. 706 612 545
The accompanying notes are an integral part of these consolidated financial statements.
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