Chesapeake Energy 2013 Annual Report Download - page 111

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CHESAPEAKE ENERGY CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
103
Equity Method Investees
Other than Mr. McClendon, only our equity method investees were considered related parties. During 2013, 2012
and 2011, we had the following related party transactions with our equity method investees.
Years Ended December 31,
2013 2012 2011
($ in millions)
Purchases(a) ............................................................................................. $ — $ 73 $ —
Sales(b) ..................................................................................................... $ 666 $ 392 $ 171
Services(c) ................................................................................................ $ 397 $ 480 $ 369
___________________________________________
(a) Purchase of equipment from FTS.
(b) In 2013, 2012 and 2011, Chesapeake sold produced gas to our 30%-owned investee, Twin Eagle Resource
Management LLC.
(c) Hydraulic fracturing and other services provided to us by FTS in the ordinary course of business. As well operators,
we are reimbursed by other working interest owners through the joint interest billing process for their proportionate
share of these costs.
The table below shows the total related party amounts due from and due to our equity method investees.
December 31,
2013 2012 2011
($ in millions)
Amounts due from equity method investment related parties .................. $ 47 $ 67 $ 29
Amounts due to equity method investment related parties ...................... $ 1 $ 42 $ 115
8. Equity
Common Stock
The following is a summary of the changes in our common shares issued for 2013, 2012 and 2011:
Years Ended December 31,
2013 2012 2011
(in thousands)
Shares issued as of January 1 ......................................................................... 666,468 660,888 655,251
Restricted stock issuances (net of forfeitures)(a) ............................................ (599) 5,038 4,961
Stock option exercises ................................................................................... 323 542 565
Preferred stock conversion ............................................................................ — — 111
Shares issued as of December 31 ................................................................... 666,192 666,468 660,888
___________________________________________
(a) In 2013, we began granting restricted stock units (RSUs) in lieu of restricted stock awards (RSAs) to non-employee
directors and employees. Shares of common stock underlying RSUs are issued when the units vest, whereas
restricted shares of common stock are issued on the grant date of RSAs. We refer to RSAs and RSUs collectively
as restricted stock.