For 2015, Southwestern reported adjusted net income attributable to common stock, which includes a $13 million impact from a theoretical income allocation to preferred stock, of $71 million, or $0.19 per diluted share (reconciled below), when excluding a non-cash ceiling test impairment of natural gas and oil properties of $7.0 billion ($4.3 billion net of taxes) and certain other items typically excluded by the investment community in published estimates, which in aggregate decreased net income by $4.7 billion, or $12.47 per share (diluted). Including these items, the net loss attributable to common stock for 2015 was $4.7 billion, or $12.25 per diluted share. For 2014, Southwestern reported adjusted net income attributable to common stock of $801 million, or $2.27 per diluted share (reconciled below), when excluding a $131 million ($80 million net of taxes) gain on derivative contracts that have not been settled, discrete income tax adjustments totaling $46 million and $5 million ($3 million net of taxes) of certain transaction costs associated with the West Virginiaand southwest Pennsylvania acquisition closed in the fourth quarter of 2014. Including these items, net income for 2014 was $924 million, or $2.62 per diluted share.The company also provided this update:
Net cash provided by operating activities before changes in operating assets and liabilities (reconciled below) was $1.5 billion for 2015, compared to $2.3 billion in 2014. On a GAAP basis, net cash provided by operating activities was $1.6 billion for 2015, compared to $2.3 billion for 2014.
In the fourth quarter of 2015, the Company drilled its first Utica well, the O. E. Burge located in Marshall County, West Virginia. Despite operational challenges being faced similar to other Utica wells in the area, the Company was able to drill the well to its targeted 8,000 feet of lateral length and stayed in the target interval 100% of the time. The Company is encouraged by the data observed during drilling and will report updates as they occur.Read the whole release by clicking here.
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