NOTE M. Asset Divestitures

During the years ended December 31, 2011, 2010 and 2009, the Company completed asset divestitures for net proceeds of $819.0 million, $313.8 million and $51.6 million, respectively. The Company recorded net losses on disposition of assets in continuing operations of $3.6 million and $774 thousand during the years ended December 31, 2011 and 2009, respectively, and a net gain on disposition of assets in continuing operations of $19.1 million during the year ended December 31, 2010. The Company recorded gains from the disposition of discontinued operations of $645.2 million and $17.5 million during the years ended December 31, 2011 and 2009. The following describes the significant divestitures of continuing operations:

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Eagle Ford Shale. In June 2010, the Company entered into an Eagle Ford Shale joint venture and associated therewith the Company sold 45 percent of its Eagle Ford Shale proved and unproved oil and gas properties to an unaffiliated third party for $212.0 million of cash proceeds, including normal closing adjustments, resulting in a pretax gain of $6.0 million in 2010 and a $46.2 million deferred gain that is being amortized as a reduction to production costs over a 20-year period. Under the terms of the transaction, the purchaser is also paying 75 percent (up to $886.8 million) of the Company's defined exploration, drilling and completion costs attributable to the Eagle Ford Shale assets;

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Uinta/Piceance. During 2010, the Company sold certain proved and unproved oil and gas properties in the Uinta/Piceance area for net proceeds of $11.8 million and the assumption by the purchaser of certain asset retirement obligations, resulting in a pretax gain of $17.3 million;

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Other Assets. During 2011 and 2010, the Company sold unproved leaseholds, inventory and other property and equipment and recorded a pretax net loss of $5.1 million and $4.2 million, respectively.

The following describes the significant divestitures of discontinued operations:

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Pioneer Tunisia. During December 2010, the Company committed to a plan to sell its Tunisia subsidiaries and in February 2011 completed the sale of Pioneer Tunisia to an unaffiliated third party for cash proceeds of $853.6 million, including normal closing adjustments. Pioneer Tunisia represents all of the Company's Tunisian oil and gas operations. Accordingly, assets, liabilities and historic results of operations of Pioneer Tunisia, including a $645.2 million pretax gain on disposition of assets, have been classified as discontinued operations herein. (Refer to Note U for further information regarding discontinued operations);

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Mississippi and Gulf of Mexico Shelf. During 2009, the Company sold its oil and gas asset properties in Mississippi and substantially all of its shelf properties in the Gulf of Mexico. In accordance with GAAP, the Company classified the results of operations attributable to these divestitures as discontinued operations, rather than as a component of continuing operations.