Annual report pursuant to Section 13 and 15(d)

Supplemental Guarantor Information (Tables)

v3.8.0.1
Supplemental Guarantor Information (Tables)
12 Months Ended
Dec. 31, 2017
Supplemental Guarantor Information [Abstract]  
Condensed Consolidating Balance Sheet

The following condensed consolidating financial information presents the financial condition, results of operations and cash flows of the Parent Company and the Guarantor Subsidiaries, together with consolidating adjustments necessary to present the Company’s results on a consolidated basis.  As to the ceiling test write-downs recorded in 2016 and 2015, the computation is performed for each subsidiary on a stand-alone basis and also for the consolidated Company.  Due to this methodology, consolidating adjustments are required to present the consolidated results appropriately.    

 

Condensed Consolidating Balance Sheet as of December 31, 2017

(In thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consolidated

 

 

Parent

 

 

Guarantor

 

 

 

 

 

 

W&T

 

 

Company

 

 

Subsidiaries

 

 

Eliminations

 

 

Offshore, Inc.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

$

99,058

 

 

$

 

 

$

 

 

$

99,058

 

Receivables:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Oil and natural gas sales

 

5,665

 

 

 

39,778

 

 

 

 

 

 

45,443

 

Joint interest

 

19,754

 

 

 

 

 

 

 

 

 

19,754

 

Income taxes

 

128,835

 

 

 

 

 

 

(115,829

)

 

 

13,006

 

Total receivables

 

154,254

 

 

 

39,778

 

 

 

(115,829

)

 

 

78,203

 

Prepaid expenses and other assets

 

11,154

 

 

 

2,265

 

 

 

 

 

 

13,419

 

Total current assets

 

264,466

 

 

 

42,043

 

 

 

(115,829

)

 

 

190,680

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Oil and natural gas properties and other, net - at cost:

 

430,354

 

 

 

152,464

 

 

 

(3,802

)

 

 

579,016

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Restricted deposits for asset retirement obligations

 

25,394

 

 

 

 

 

 

 

 

 

25,394

 

Income tax receivables

 

52,097

 

 

 

 

 

 

 

 

 

52,097

 

Other assets

 

505,304

 

 

 

453,306

 

 

 

(898,217

)

 

 

60,393

 

Total assets

$

1,277,615

 

 

$

647,813

 

 

$

(1,017,848

)

 

$

907,580

 

Liabilities and Shareholders’ Equity (Deficit)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accounts payable

$

76,703

 

 

$

6,962

 

 

$

 

 

$

83,665

 

Undistributed oil and natural gas proceeds

 

18,762

 

 

 

1,367

 

 

 

 

 

 

20,129

 

Asset retirement obligations

 

22,488

 

 

 

1,125

 

 

 

 

 

 

23,613

 

Long-term debt

 

22,925

 

 

 

 

 

 

 

 

 

22,925

 

Accrued liabilities

 

18,058

 

 

 

115,701

 

 

 

(115,829

)

 

 

17,930

 

Total current liabilities

 

158,936

 

 

 

125,155

 

 

 

(115,829

)

 

 

168,262

 

Long-term debt:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Principal

 

889,790

 

 

 

 

 

 

 

 

 

889,790

 

Carrying value adjustments

 

79,337

 

 

 

 

 

 

 

 

 

79,337

 

Long term debt, less current portion - carrying value

 

969,127

 

 

 

 

 

 

 

 

 

969,127

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Asset retirement obligations, less current portion

 

152,883

 

 

 

123,950

 

 

 

 

 

 

276,833

 

Other liabilities

 

566,375

 

 

 

 

 

 

(499,509

)

 

 

66,866

 

Shareholders’ equity (deficit):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Common stock

 

1

 

 

 

 

 

 

 

 

 

1

 

Additional paid-in capital

 

545,820

 

 

 

704,885

 

 

 

(704,885

)

 

 

545,820

 

Retained earnings (deficit)

 

(1,091,360

)

 

 

(306,177

)

 

 

302,375

 

 

 

(1,095,162

)

Treasury stock, at cost

 

(24,167

)

 

 

 

 

 

 

 

 

(24,167

)

Total shareholders’ equity (deficit)

 

(569,706

)

 

 

398,708

 

 

 

(402,510

)

 

 

(573,508

)

Total liabilities and shareholders’ equity (deficit)

$

1,277,615

 

 

$

647,813

 

 

$

(1,017,848

)

 

$

907,580

 

Condensed Consolidating Balance Sheet as of December 31, 2016

(In thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consolidated

 

 

Parent

 

 

Guarantor

 

 

 

 

 

 

W&T

 

 

Company

 

 

Subsidiaries

 

 

Eliminations

 

 

Offshore, Inc.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

$

70,236

 

 

$

 

 

$

 

 

$

70,236

 

Receivables:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Oil and natural gas sales

 

2,173

 

 

 

40,900

 

 

 

 

 

 

43,073

 

Joint interest

 

21,885

 

 

 

 

 

 

 

 

 

 

21,885

 

Insurance reimbursement

 

30,100

 

 

 

 

 

 

 

 

 

30,100

 

Income taxes

 

111,215

 

 

 

 

 

 

(99,272

)

 

 

11,943

 

Total receivables

 

165,373

 

 

 

40,900

 

 

 

(99,272

)

 

 

107,001

 

Prepaid expenses and other assets

 

12,448

 

 

 

2,056

 

 

 

 

 

 

14,504

 

Total current assets

 

248,057

 

 

 

42,956

 

 

 

(99,272

)

 

 

191,741

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Oil and natural gas properties and other, net

 

360,966

 

 

 

187,040

 

 

 

(953

)

 

 

547,053

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Restricted deposits for asset retirement obligations

 

27,371

 

 

 

 

 

 

 

 

 

27,371

 

Income tax receivables

 

52,097

 

 

 

 

 

 

 

 

 

52,097

 

Other assets

 

394,931

 

 

 

344,742

 

 

 

(728,209

)

 

 

11,464

 

Total assets

$

1,083,422

 

 

$

574,738

 

 

$

(828,434

)

 

$

829,726

 

Liabilities and Shareholders’ Equity (Deficit)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accounts payable

$

74,306

 

 

$

6,733

 

 

$

 

 

$

81,039

 

Undistributed oil and natural gas proceeds

 

24,493

 

 

 

1,761

 

 

 

 

 

 

26,254

 

Asset retirement obligations

 

62,261

 

 

 

16,003

 

 

 

 

 

 

78,264

 

Long-term debt

 

8,272

 

 

 

 

 

 

 

 

 

8,272

 

Accrued liabilities

 

9,293

 

 

 

99,179

 

 

 

(99,272

)

 

 

9,200

 

Total current liabilities

 

178,625

 

 

 

123,676

 

 

 

(99,272

)

 

 

203,029

 

Long-term debt:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Principal

 

873,733

 

 

 

 

 

 

 

 

 

873,733

 

Carrying value adjustments

 

138,722

 

 

 

 

 

 

 

 

 

138,722

 

Long term debt, less current portion - carrying value

 

1,012,455

 

 

 

 

 

 

 

 

 

1,012,455

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Asset retirement obligations, less current portion

 

142,376

 

 

 

113,798

 

 

 

 

 

 

256,174

 

Other liabilities

 

408,050

 

 

 

 

 

 

(390,945

)

 

 

17,105

 

Shareholders’ equity (deficit):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Common stock

 

1

 

 

 

 

 

 

 

 

 

1

 

Additional paid-in capital

 

539,973

 

 

 

704,885

 

 

 

(704,885

)

 

 

539,973

 

Retained earnings (deficit)

 

(1,173,891

)

 

 

(367,621

)

 

 

366,668

 

 

 

(1,174,844

)

Treasury stock, at cost

 

(24,167

)

 

 

 

 

 

 

 

 

(24,167

)

Total shareholders’ equity (deficit)

 

(658,084

)

 

 

337,264

 

 

 

(338,217

)

 

 

(659,037

)

Total liabilities and shareholders’ equity (deficit)

$

1,083,422

 

 

$

574,738

 

 

$

(828,434

)

 

$

829,726

 

 

Condensed Consolidating Statement of Operations

Condensed Consolidating Statement of Operations for the Year Ended December 31, 2017

(In thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consolidated

 

 

Parent

 

 

Guarantor

 

 

 

 

 

 

W&T

 

 

Company

 

 

Subsidiaries

 

 

Eliminations

 

 

Offshore, Inc.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenues

$

231,396

 

 

$

255,700

 

 

$

 

 

$

487,096

 

Operating costs and expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Lease operating expenses

 

79,695

 

 

 

64,043

 

 

 

 

 

 

143,738

 

Production taxes

 

1,740

 

 

 

 

 

 

 

 

 

1,740

 

Gathering and transportation

 

9,781

 

 

 

10,660

 

 

 

 

 

 

20,441

 

Depreciation, depletion and amortization

 

73,962

 

 

 

61,700

 

 

 

2,848

 

 

 

138,510

 

Asset retirement obligations accretion

 

7,416

 

 

 

9,756

 

 

 

 

 

 

17,172

 

General and administrative expenses

 

28,170

 

 

 

31,574

 

 

 

 

 

 

59,744

 

Derivative gain

 

(4,199

)

 

 

 

 

 

 

 

 

(4,199

)

Total costs and expenses

 

196,565

 

 

 

177,733

 

 

 

2,848

 

 

 

377,146

 

Operating Income

 

34,831

 

 

 

77,967

 

 

 

(2,848

)

 

 

109,950

 

Earnings of affiliates

 

61,444

 

 

 

 

 

 

(61,444

)

 

 

 

Interest expense incurred

 

45,836

 

 

 

 

 

 

 

 

 

45,836

 

Gain on exchange of debt

 

7,811

 

 

 

 

 

 

 

 

 

7,811

 

Other expense, net

 

4,812

 

 

 

 

 

 

 

 

 

4,812

 

Income before income tax expense (benefit)

 

53,438

 

 

 

77,967

 

 

 

(64,292

)

 

 

67,113

 

Income tax expense (benefit)

 

(29,092

)

 

 

16,523

 

 

 

 

 

 

(12,569

)

Net income

$

82,530

 

 

$

61,444

 

 

$

(64,292

)

 

$

79,682

 

Condensed Consolidating Statement of Operations for the Year Ended December 31, 2016

(In thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consolidated

 

 

Parent

 

 

Guarantor

 

 

 

 

 

 

W&T

 

 

Company

 

 

Subsidiaries

 

 

Eliminations

 

 

Offshore, Inc.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenues

$

161,063

 

 

$

238,923

 

 

$

 

 

$

399,986

 

Operating costs and expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Lease operating expenses

 

84,415

 

 

 

67,984

 

 

 

 

 

 

152,399

 

Production taxes

 

1,889

 

 

 

 

 

 

 

 

 

1,889

 

Gathering and transportation

 

9,795

 

 

 

13,133

 

 

 

 

 

 

22,928

 

Depreciation, depletion and amortization

 

73,268

 

 

 

112,277

 

 

 

8,493

 

 

 

194,038

 

Asset retirement obligations accretion

 

8,165

 

 

 

9,406

 

 

 

 

 

 

17,571

 

Ceiling test write-down of oil and natural gas

   properties

 

28,305

 

 

 

110,709

 

 

 

140,049

 

 

 

279,063

 

General and administrative expenses

 

24,817

 

 

 

34,923

 

 

 

 

 

 

59,740

 

Derivative loss

 

2,926

 

 

 

 

 

 

 

 

 

2,926

 

Total costs and expenses

 

233,580

 

 

 

348,432

 

 

 

148,542

 

 

 

730,554

 

Operating loss

 

(72,517

)

 

 

(109,509

)

 

 

(148,542

)

 

 

(330,568

)

Loss of affiliates

 

(109,853

)

 

 

 

 

 

109,853

 

 

 

 

Interest expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Incurred

 

92,607

 

 

 

184

 

 

 

 

 

 

92,791

 

Capitalized

 

(336

)

 

 

(184

)

 

 

 

 

 

(520

)

Gain on exchange of debt

 

123,923

 

 

 

 

 

 

 

 

 

123,923

 

Other income, net

 

(6,520

)

 

 

 

 

 

 

 

 

(6,520

)

Loss before income tax expense (benefit)

 

(144,198

)

 

 

(109,509

)

 

 

(38,689

)

 

 

(292,396

)

Income tax expense (benefit)

 

(43,720

)

 

 

344

 

 

 

 

 

 

(43,376

)

Net loss

$

(100,478

)

 

$

(109,853

)

 

$

(38,689

)

 

$

(249,020

)

Condensed Consolidating Statement of Operations for the Year Ended December 31, 2015

(In thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consolidated

 

 

Parent

 

 

Guarantor

 

 

 

 

 

 

W&T

 

 

Company

 

 

Subsidiaries

 

 

Eliminations

 

 

Offshore, Inc.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenues

$

290,212

 

 

$

217,053

 

 

$

 

 

$

507,265

 

Operating costs and expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Lease operating expenses

 

126,189

 

 

 

66,576

 

 

 

 

 

 

192,765

 

Production taxes

 

3,002

 

 

 

 

 

 

 

 

 

3,002

 

Gathering and transportation

 

9,209

 

 

 

7,948

 

 

 

 

 

 

17,157

 

Depreciation, depletion and amortization

 

201,154

 

 

 

172,214

 

 

 

 

 

 

373,368

 

Asset retirement obligations accretion

 

11,587

 

 

 

9,116

 

 

 

 

 

 

20,703

 

Ceiling test write-down of oil and natural gas

   properties

 

616,947

 

 

 

517,880

 

 

 

(147,589

)

 

 

987,238

 

General and administrative expenses

 

39,009

 

 

 

34,101

 

 

 

 

 

 

73,110

 

Derivative gain

 

(14,375

)

 

 

 

 

 

 

 

 

(14,375

)

Total costs and expenses

 

992,722

 

 

 

807,835

 

 

 

(147,589

)

 

 

1,652,968

 

Operating loss

 

(702,510

)

 

 

(590,782

)

 

 

147,589

 

 

 

(1,145,703

)

Loss of affiliates

 

(464,931

)

 

 

 

 

 

464,931

 

 

 

 

Interest expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Incurred

 

101,542

 

 

 

3,050

 

 

 

 

 

 

104,592

 

Capitalized

 

(4,206

)

 

 

(3,050

)

 

 

 

 

 

(7,256

)

Other expense, net

 

4,663

 

 

 

 

 

 

 

 

 

4,663

 

Loss before income tax benefit

 

(1,269,440

)

 

 

(590,782

)

 

 

612,520

 

 

 

(1,247,702

)

Income tax benefit

 

(77,133

)

 

 

(125,851

)

 

 

 

 

 

(202,984

)

Net loss

$

(1,192,307

)

 

$

(464,931

)

 

$

612,520

 

 

$

(1,044,718

)

 

Condensed Consolidating Statement of Cash Flows

Condensed Consolidating Statement of Cash Flows for the Year Ended December 31, 2017

(In thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consolidated

 

 

Parent

 

 

Guarantor

 

 

 

 

 

 

W&T

 

 

Company

 

 

Subsidiaries

 

 

Eliminations

 

 

Offshore, Inc.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income

$

82,530

 

 

$

61,444

 

 

$

(64,292

)

 

$

79,682

 

Adjustments to reconcile net income to net cash provided by

    operating activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation, depletion, amortization and accretion

 

81,378

 

 

 

71,456

 

 

 

2,848

 

 

 

155,682

 

Gain on exchange of debt

 

(7,811

)

 

 

 

 

 

 

 

 

(7,811

)

Amortization of debt items

 

1,715

 

 

 

 

 

 

 

 

 

1,715

 

Share-based compensation

 

7,191

 

 

 

 

 

 

 

 

 

7,191

 

Derivative gain

 

(4,199

)

 

 

 

 

 

 

 

 

(4,199

)

Cash receipts on derivative settlements, net

 

4,199

 

 

 

 

 

 

 

 

 

4,199

 

Deferred income taxes

 

217

 

 

 

 

 

 

 

 

 

217

 

Loss of affiliates

 

(61,444

)

 

 

 

 

 

61,444

 

 

 

 

Changes in operating assets and liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Oil and natural gas receivables

 

(3,491

)

 

 

1,121

 

 

 

 

 

 

(2,370

)

Joint interest receivables

 

2,131

 

 

 

 

 

 

 

 

 

2,131

 

Insurance reimbursements

 

31,740

 

 

 

 

 

 

 

 

 

31,740

 

Income taxes

 

(17,586

)

 

 

16,523

 

 

 

 

 

 

(1,063

)

Prepaid expenses and other assets

 

3,447

 

 

 

(108,773

)

 

 

108,564

 

 

 

3,238

 

Escrow deposit - Apache lawsuit

 

(49,500

)

 

 

 

 

 

 

 

 

(49,500

)

Asset retirement obligation settlements

 

(55,672

)

 

 

(16,737

)

 

 

 

 

 

(72,409

)

Accounts payable, accrued liabilities and other

 

127,496

 

 

 

(7,967

)

 

 

(108,564

)

 

 

10,965

 

Net cash provided by operating activities

 

142,341

 

 

 

17,067

 

 

 

 

 

 

159,408

 

Investing activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investment in oil and natural gas properties and equipment

 

(105,179

)

 

 

(24,869

)

 

 

 

 

 

(130,048

)

Changes in operating assets and liabilities associated with

    investing activities

 

16,072

 

 

 

7,802

 

 

 

 

 

 

23,874

 

Purchases of furniture, fixtures and other

 

(933

)

 

 

 

 

 

 

 

 

(933

)

Net cash used in investing activities

 

(90,040

)

 

 

(17,067

)

 

 

 

 

 

(107,107

)

Financing activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Payment of interest on 1.5 Lien Term Loan

 

(8,227

)

 

 

 

 

 

 

 

 

(8,227

)

Payment of interest on 2nd Lien PIK Toggle Notes

 

(7,335

)

 

 

 

 

 

 

 

 

(7,335

)

Payment of interest on 3rd Lien PIK Toggle Notes

 

(6,201

)

 

 

 

 

 

 

 

 

(6,201

)

Debt exchange costs

 

(421

)

 

 

 

 

 

 

 

 

(421

)

Other

 

(1,295

)

 

 

 

 

 

 

 

 

(1,295

)

Net cash used in financing activities

 

(23,479

)

 

 

 

 

 

 

 

 

(23,479

)

Increase in cash and cash equivalents

 

28,822

 

 

 

 

 

 

 

 

 

28,822

 

Cash and cash equivalents, beginning of period

 

70,236

 

 

 

 

 

 

 

 

 

70,236

 

Cash and cash equivalents, end of period

$

99,058

 

 

$

 

 

$

 

 

$

99,058

 

Condensed Consolidating Statement of Cash Flows for the Year Ended December 31, 2016

(In thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consolidated

 

 

Parent

 

 

Guarantor

 

 

 

 

 

 

W&T

 

 

Company

 

 

Subsidiaries

 

 

Eliminations

 

 

Offshore, Inc.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss

$

(100,478

)

 

$

(109,853

)

 

$

(38,689

)

 

$

(249,020

)

Adjustments to reconcile net loss to net cash

   provided by operating activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation, depletion, amortization and accretion

 

81,433

 

 

 

121,683

 

 

 

8,493

 

 

 

211,609

 

Ceiling test write-down of oil and gas properties

 

28,305

 

 

 

110,709

 

 

 

140,049

 

 

 

279,063

 

Gain on exchange of debt

 

(123,923

)

 

 

 

 

 

 

 

 

(123,923

)

Debt issuance costs write-down/amortization of debt items

 

2,548

 

 

 

 

 

 

 

 

 

2,548

 

Share-based compensation

 

11,013

 

 

 

 

 

 

 

 

 

11,013

 

Derivative gain

 

2,926

 

 

 

 

 

 

 

 

 

2,926

 

Cash payments on derivative settlements

 

4,746

 

 

 

 

 

 

 

 

 

4,746

 

Deferred income taxes

 

28,048

 

 

 

344

 

 

 

 

 

 

28,392

 

Loss of affiliates

 

109,853

 

 

 

 

 

 

(109,853

)

 

 

 

Changes in operating assets and liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Oil and natural gas receivables

 

1,630

 

 

 

(8,635

)

 

 

 

 

 

(7,005

)

Joint interest receivables

 

12

 

 

 

 

 

 

 

 

 

12

 

Income taxes

 

(64,274

)

 

 

 

 

 

 

 

 

(64,274

)

Prepaid expenses and other assets

 

(14,395

)

 

 

(78,547

)

 

 

77,996

 

 

 

(14,946

)

Asset retirement obligations

 

(49,303

)

 

 

(23,017

)

 

 

 

 

 

(72,320

)

Accounts payable, accrued liabilities and other

 

45,817

 

 

 

37,538

 

 

 

(77,996

)

 

 

5,359

 

Net cash provided by (used in) operating activities

 

(36,042

)

 

 

50,222

 

 

 

 

 

 

14,180

 

Investing activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investment in oil and natural gas properties and equipment

 

(37,418

)

 

 

(11,188

)

 

 

 

 

 

(48,606

)

Changes in operating assets and liabilities associated with

   investing activities

 

4,340

 

 

 

(39,534

)

 

 

 

 

 

(35,194

)

Proceeds from sales of assets, net

 

1,000

 

 

 

500

 

 

 

 

 

 

1,500

 

Purchases of furniture, fixtures and other

 

(96

)

 

 

 

 

 

 

 

 

(96

)

Net cash used in investing activities

 

(32,174

)

 

 

(50,222

)

 

 

 

 

 

(82,396

)

Financing activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Borrowings of long-term debt – revolving bank credit facility

 

340,000

 

 

 

 

 

 

 

 

 

340,000

 

Repayments of long-term debt – revolving bank credit facility

 

(340,000

)

 

 

 

 

 

 

 

 

(340,000

)

Issuance of 1.5 Lien Term Loan

 

75,000

 

 

 

 

 

 

 

 

 

75,000

 

Payment of interest on 1.5 Lien Term Loan

 

(2,570

)

 

 

 

 

 

 

 

 

(2,570

)

Debt exchange costs

 

(18,464

)

 

 

 

 

 

 

 

 

(18,464

)

Other

 

(928

)

 

 

 

 

 

 

 

 

(928

)

Net cash provided by financing activities

 

53,038

 

 

 

 

 

 

 

 

 

53,038

 

Decrease in cash and cash equivalents

 

(15,178

)

 

 

 

 

 

 

 

 

(15,178

)

Cash and cash equivalents, beginning of period

 

85,414

 

 

 

 

 

 

 

 

 

85,414

 

Cash and cash equivalents, end of period

$

70,236

 

 

$

 

 

$

 

 

$

70,236

 

Condensed Consolidating Statement of Cash Flows for the Year Ended December 31, 2015

(In thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consolidated

 

 

Parent

 

 

Guarantor

 

 

 

 

 

 

W&T

 

 

Company

 

 

Subsidiaries

 

 

Eliminations

 

 

Offshore, Inc.

 

 

 

 

Operating activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss

$

(1,192,307

)

 

$

(464,931

)

 

$

612,520

 

 

$

(1,044,718

)

Adjustments to reconcile loss to net cash

   provided by operating activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation, depletion, amortization and accretion

 

212,741

 

 

 

181,330

 

 

 

 

 

 

394,071

 

Ceiling test write-down of oil and gas properties

 

616,947

 

 

 

517,880

 

 

 

(147,589

)

 

 

987,238

 

Debt issuance costs write-down/amortization of debt items

 

4,411

 

 

 

 

 

 

 

 

 

4,411

 

Share-based compensation

 

10,242

 

 

 

 

 

 

 

 

 

10,242

 

Derivative loss

 

(14,375

)

 

 

 

 

 

 

 

 

(14,375

)

Cash payments on derivative settlements

 

6,703

 

 

 

 

 

 

 

 

 

6,703

 

Deferred income taxes

 

(77,421

)

 

 

(125,851

)

 

 

 

 

 

(203,272

)

Earnings of affiliates

 

464,931

 

 

 

 

 

 

(464,931

)

 

 

 

Changes in operating assets and liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Oil and natural gas receivables

 

39,078

 

 

 

(6,842

)

 

 

 

 

 

32,236

 

Joint interest receivables

 

21,645

 

 

 

 

 

 

 

 

 

21,645

 

Income taxes

 

(7

)

 

 

 

 

 

 

 

 

(7

)

Prepaid expenses and other assets

 

(13,916

)

 

 

122,977

 

 

 

(91,245

)

 

 

17,816

 

Asset retirement obligations

 

(26,637

)

 

 

(5,918

)

 

 

 

 

 

(32,555

)

Accounts payable, accrued liabilities and other

 

(141,608

)

 

 

4,156

 

 

 

91,245

 

 

 

(46,207

)

Net cash provided by (used in) operating activities

 

(89,573

)

 

 

222,801

 

 

 

 

 

 

133,228

 

Investing activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investment in oil and natural gas properties and equipment

 

(31,534

)

 

 

(198,627

)

 

 

 

 

 

(230,161

)

Changes in operating assets and liabilities associated with

   investing activities

 

(29,806

)

 

 

(25,619

)

 

 

 

 

 

(55,425

)

Proceeds from sales of assets, net

 

372,939

 

 

 

 

 

 

 

 

 

372,939

 

Investment in subsidiary

 

(1,445

)

 

 

 

 

 

1,445

 

 

 

 

Purchases of furniture, fixtures and other

 

(1,278

)

 

 

 

 

 

 

 

 

(1,278

)

Net cash provided by (used in) investing activities

 

308,876

 

 

 

(224,246

)

 

 

1,445

 

 

 

86,075

 

Financing activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Borrowings of long-term debt – revolving bank credit facility

 

263,000

 

 

 

 

 

 

 

 

 

263,000

 

Repayments of long-term debt – revolving bank credit facility

 

(710,000

)

 

 

 

 

 

 

 

 

(710,000

)

Issuance of 9.00% Second Lien Term Loan

 

297,000

 

 

 

 

 

 

 

 

 

297,000

 

Debt issuance costs

 

(6,669

)

 

 

 

 

 

 

 

 

(6,669

)

Other

 

(886

)

 

 

 

 

 

 

 

 

(886

)

Investment from parent

 

 

 

 

1,445

 

 

 

(1,445

)

 

 

 

Net cash provided by (used in) financing activities

 

(157,555

)

 

 

1,445

 

 

 

(1,445

)

 

 

(157,555

)

Increase in cash and cash equivalents

 

61,748

 

 

 

 

 

 

 

 

 

61,748

 

Cash and cash equivalents, beginning of period

 

23,666

 

 

 

 

 

 

 

 

 

23,666

 

Cash and cash equivalents, end of period

$

85,414

 

 

$

 

 

$

 

 

$

85,414