Subsequent Events

12 Months Ended

Dec. 31, 2021

Subsequent Events [Abstract]

Subsequent Events

Subsequent Events

Dividends. In February 2022, the Company declared a quarterly base dividend of $0.78 per share and a quarterly variable dividend of $3.00 per share for shareholders of record on February 28, 2022, with a payment date of March 14, 2022.

Stock repurchase program. In February 2022, the Company's board of directors authorized a new $4 billion common stock repurchase program. This new authorization replaced the then-existing $2 billion common stock repurchase program that had $841 million remaining in the program at the time of the new authorization.

Senior notes. On February 4, 2022, the Company delivered a notice of redemption for all of the outstanding 0.75% Senior Notes due 2024 (the "2024 Notes") and 4.45% Senior Notes due 2026 (the "2026 Notes") with a redemption date for the 2024 Notes of February 14, 2022, and a redemption date for the 2026 Notes of February 24, 2022. The 2024 Notes were fully redeemed with cash on hand on February 14, 2022, for an aggregate principal amount of $750 million plus accrued and unpaid interest. The Company expects to complete the redemption of the 2026 Notes with cash on hand on February 24, 2022, at the "make-whole" redemption price plus accrued and unpaid interest. The Company expects to recognize a pre-tax loss of approximately $50 million on the early extinguishment of its 2026 Notes.

Divestiture. In December 2021, the Company entered into a purchase and sale agreement with West Texas Gas, Inc. ("WTG") to sell the Company's 30 percent equity interest in WTG's gas gathering and processing system in northern Martin County for cash proceeds of $126 million, after normal closing adjustments. The Company expects to recognize no gain or loss on the sale of these assets. The transaction closed in February 2022.