PLAINS EXPLORATION & PRODUCTION COMPANY
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS
YEAR ENDED DECEMBER 31, 2011
(in thousands of dollars)
Issuer
Guarantor
Subsidiaries
Non-
Guarantor
Subsidiaries
Intercompany
Eliminations Consolidated
CASH FLOWS FROM OPERATING ACTIVITIES
Net income (loss) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 205,279 $ (216,694) $ (327,892) $ 545,986 $ 206,679
Items not affecting cash flows from operating activities
Depreciation, depletion, amortization, accretion
and impairment . . . . . . . . . . . . . . . . . . . . . . . . . . . . 214,389
626,052
495,843
(654,629)
681,655
Equity in earnings of subsidiaries . . . . . . . . . . . . . . . 124,416
-
-
(124,416)
-
Deferred income tax expense (benefit) . . . . . . . . . . . 19,961
42,812
(135,619)
233,060
160,214
Debt extinguishment costs . . . . . . . . . . . . . . . . . . . . .
2,844
-
-
-
2,844
Gain on mark-to-market derivative contracts . . . . . .
(81,981)
-
-
-
(81,981)
Loss on investment measured at fair value . . . . . . . . 52,675
-
-
-
52,675
Non-cash compensation . . . . . . . . . . . . . . . . . . . . . . . 37,042
12,151
-
-
49,193
Other non-cash items . . . . . . . . . . . . . . . . . . . . . . . . .
1,272
(6,898)
67
-
(5,559)
Change in assets and liabilities from operating
activities
Accounts receivable and other assets . . . . . . . . . . . .
(48,878)
(9,937)
1,086
-
(57,729)
Accounts payable and other liabilities . . . . . . . . . . . . 56,840
(4,887)
7,133
-
59,086
Income taxes receivable/payable . . . . . . . . . . . . . . . . 43,678
-
-
-
43,678
Net cash provided by operating activities . . . . . . . . . . . 627,537
442,599
40,618
1 1,110,755
CASH FLOWS FROM INVESTING ACTIVITIES
Additions to oil and gas properties . . . . . . . . . . . . . . . . .
(820,984)
(853,696)
(108,624)
-
(1,783,304)
Acquisition of oil and gas properties . . . . . . . . . . . . . . .
(13,145)
(27,370)
-
-
(40,515)
Proceeds from sales of oil and gas properties, net of
costs and expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . 736,228
-
-
-
736,228
Derivative settlements . . . . . . . . . . . . . . . . . . . . . . . . . . .
(55,412)
-
-
-
(55,412)
Other . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(8,062)
480
(4,006)
-
(11,588)
Net cash used in investing activities . . . . . . . . . . . . . . .
(161,375)
(880,586)
(112,630)
-
(1,154,591)
CASH FLOWS FROM FINANCING ACTIVITIES
Borrowings from revolving credit facilities . . . . . . . . . . . 6,305,300
-
-
-
6,305,300
Repayments of revolving credit facilities . . . . . . . . . . . . (6,190,300)
-
-
-
(6,190,300)
Principal payments of long-term debt . . . . . . . . . . . . . . (1,295,737)
-
-
-
(1,295,737)
Proceeds from issuance of Senior Notes . . . . . . . . . . . 1,600,000
-
-
-
1,600,000
Costs incurred in connection with financing
arrangements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(27,829)
-
(2,410)
-
(30,239)
Purchase of treasury stock . . . . . . . . . . . . . . . . . . . . . . .
(361,729)
-
-
-
(361,729)
Net proceeds from issuance of noncontrolling interest
in the form of preferred stock of subsidiary . . . . . . . .
-
-
430,246
-
430,246
Distributions to holders of noncontrolling interest in
the form of preferred stock of subsidiary . . . . . . . . . .
-
-
(1,050)
-
(1,050)
Investment in and advances to affiliates . . . . . . . . . . . .
(498,707) 437,985
60,691
31
-
Other . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
9
-
32
(32)
9
Net cash (used in) provided by financing activities . . .
(468,993) 437,985
487,509
(1)
456,500
Net (decrease) increase in cash and cash
equivalents . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(2,831)
(2) 415,497
-
412,664
Cash and cash equivalents, beginning of period . . . . .
6,020
8
406
-
6,434
Cash and cash equivalents, end of period . . . . . . . . . . $ 3,189 $
6 $ 415,903 $
- $ 419,098
F-50