PLAINS EXPLORATION & PRODUCTION COMPANY
CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands of dollars)
Year Ended December 31,
2011
2010
2009
CASH FLOWS FROM OPERATING ACTIVITIES
Net income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 206,679 $ 103,265 $ 136,305
Items not affecting cash flows from operating activities
Depreciation, depletion and amortization . . . . . . . . . . . . . . . . . . . . .
664,478
533,416
407,248
Impairment of oil and gas properties . . . . . . . . . . . . . . . . . . . . . . . .
-
59,475
-
Accretion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
17,177
17,702
14,332
Deferred income tax expense . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
160,214
193,835
35,784
Debt extinguishment costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
2,844
1,189
12,093
(Gain) loss on mark-to-market derivative contracts . . . . . . . . . . . .
(81,981)
60,695
7,017
Loss on investment measured at fair value . . . . . . . . . . . . . . . . . . .
52,675
1,551
-
Non-cash compensation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
49,193
50,875
60,490
Other non-cash items . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(5,559)
1,043
6,950
Change in assets and liabilities from operating activities
Accounts receivable and other assets . . . . . . . . . . . . . . . . . . . . . . .
(62,389)
(41,604)
(26,600)
Inventories . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
4,660
(4,502)
760
Accounts payable and other liabilities . . . . . . . . . . . . . . . . . . . . . . .
59,086
(31,351)
(47,106)
Income taxes receivable/payable . . . . . . . . . . . . . . . . . . . . . . . . . . .
43,678
(33,119)
(108,227)
Net cash provided by operating activities . . . . . . . . . . . . . . . . . . . . . . 1,110,755
912,470
499,046
CASH FLOWS FROM INVESTING ACTIVITIES
Additions to oil and gas properties . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(1,783,304)
(1,048,858) (1,628,357)
Acquisition of oil and gas properties . . . . . . . . . . . . . . . . . . . . . . . . . .
(40,515)
(554,685)
(1,159,939)
Proceeds from sales of oil and gas properties and
related assets, net of costs and expenses . . . . . . . . . . . . . . . . . . . .
736,228
73,965
-
Derivative settlements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(55,412)
(29,921) 1,522,412
Additions to other property and equipment . . . . . . . . . . . . . . . . . . . . .
(13,140)
(15,809)
(14,677)
Other . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
1,552
-
162
Net cash used in investing activities . . . . . . . . . . . . . . . . . . . . . . . . . .
(1,154,591)
(1,575,308) (1,280,399)
CASH FLOWS FROM FINANCING ACTIVITIES
Borrowings from revolving credit facilities . . . . . . . . . . . . . . . . . . . . . . 6,305,300 3,332,610 3,513,325
Repayments of revolving credit facilities . . . . . . . . . . . . . . . . . . . . . . .
(6,190,300)
(2,942,610) (4,588,325)
Principal payments of long-term debt . . . . . . . . . . . . . . . . . . . . . . . . . .
(1,295,737)
-
-
Proceeds from issuance of Senior Notes . . . . . . . . . . . . . . . . . . . . . . 1,600,000
300,000
916,439
Costs incurred in connection with financing arrangements . . . . . . . .
(30,239)
(22,771)
(19,556)
Purchase of treasury stock . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(361,729)
-
-
Net proceeds from issuance of noncontrolling interest in
the form of preferred stock of subsidiary . . . . . . . . . . . . . . . . . . . . .
430,246
-
-
Derivative settlements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
-
-
1,392
Issuance of common stock . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
-
-
648,005
Distributions to holders of noncontrolling interest in
the form of preferred stock of subsidiary . . . . . . . . . . . . . . . . . . . . .
(1,050)
-
-
Other . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
9
184
57
Net cash provided by financing activities . . . . . . . . . . . . . . . . . . . . . . .
456,500
667,413
471,337
Net increase (decrease) in cash and cash equivalents . . . . . . . . . . .
412,664
4,575
(310,016)
Cash and cash equivalents, beginning of period . . . . . . . . . . . . . . . .
6,434
1,859
311,875
Cash and cash equivalents, end of period . . . . . . . . . . . . . . . . . . . . . . $ 419,098 $ 6,434 $ 1,859
See notes to consolidated financial statements.
F-6