Acquisitions, Divestitures and Restructuring Activities (Tables)

9 Months Ended

Sep. 30, 2021

Schedule of Recognized Identified Assets Acquired and Liabilities Assumed

The following table summarizes the provisional fair values assigned to assets acquired and liabilities assumed (presented in millions):


	Parsley Acquisition		DoublePoint Acquisition
	As of January 12, 2021		As of May 4, 2021
Cash and cash equivalents (a)	$	118	$	58
Accounts receivable	253		131
Derivatives	8		—
Proved properties	5,110		3,929
Unproved properties	5,636		2,406
Other property and equipment	118		72
Operating lease right-of-use assets	201		2
Other assets	22		11
Total assets acquired	11,466		6,609

Accounts payable	337		232
Interest payable	49		22
Derivatives	317		86
Operating leases	201		2
Deferred income taxes	140		—
Long-term debt	3,238		975
Other liabilities	301		58
Total liabilities assumed	4,583		1,375
Net assets acquired	$	6,883	$	5,234

______________________

(a)Cash used in investing activities as a result of the Parsley Acquisition and DoublePoint Acquisition includes (i) $2 million of cash used in the settlement of partial shares related to the conversion of Parsley Class A common stock at the Exchange Ratio and (ii) $1 billion of cash used to acquire DoublePoint, respectively.

Business Acquisition, Pro Forma Information

The following unaudited pro forma summary presents the results of operations as if the Parsley Acquisition and DoublePoint Acquisition had occurred on January 1, 2020. The pro forma summary uses estimates and assumptions based on information available at the time. Management believes the estimates and assumptions to be reasonable; however, actual results may have differed significantly from this pro forma financial information. The pro forma information does not reflect any synergy savings that might have been achieved from combining the operations and is not intended to reflect the actual results that would have occurred had the companies actually been combined during the periods presented.


	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020
	(in millions)				(in millions)
Revenues and other income	$	4,463	$	2,168	$	10,373	$	6,797
Net income (loss)	$	1,045	$	(40)	$	1,210	$	(3,870)

Restructuring and Related Costs

The changes in the Company's total employee-related obligations associated with divestiture and restructuring activities are as follows:


	Nine Months Ended September 30,
	2021		2020

	(in millions)
Beginning employee-related obligations	$	3	$	6
Additions (a)	1		75
Less:
Noncash stock-based compensation	—		3
Cash payments	3		7
Ending employee-related obligations	$	1	$	71

______________________

(a)Additions for the nine months ended September 30, 2021 primarily represent employee-related charges associated with the divestiture of the Company's well services business in March 2021. Additions for the nine months ended September 30, 2020 primarily represent employee-related charges associated with the 2020 corporate restructuring of $74 million and the Company's staffing reduction in its well services business of $1 million. See Note 14 for additional information.