Taxes on Income

6 Months Ended

Jun. 30, 2012

Income Tax Disclosure [Abstract]

Taxes on Income

TAXES ON INCOME:

The following tables summarize the Company’s income taxes for the periods presented:

	Successor			Predecessor
	Three months ended June 30, 2012			Three months ended June 30, 2011
Current:
Federal	$	—		$	136
State	482			716
	482			852
Deferred:
Federal	9,007			24,419
State	1,369			317
	10,376			24,736
Total federal and state income tax expense	$	10,858		$	25,588
Effective tax rate	48		%	30		%

	Successor			Predecessor
	Period from Acquisition (March 26, 2012) to June 30, 2012			Period from January 1, 2012 to March 25, 2012			Six months ended June 30, 2011
Current:
Federal	$	—		$	—		$	173
State	482			5			(7,486		)
	482			5			(7,313		)
Deferred:
Federal	(1,814		)	19,861			48,604
State	256			3,005			2,939
	(1,558		)	22,866			51,543
Total federal and state income tax expense (benefit)	$	(1,076	)	$	22,871		$	44,230
Effective tax rate	4		%	31		%	27		%

In the predecessor period, the Company’s EITR was generally lower than the U.S. federal income tax statutory rate of 35% primarily due to the expected deductions for the anticipated receipt of dividends associated with earnings from the Company’s unconsolidated investment in Citrus.  In the successor period, the earnings from Citrus and the related dividends received deductions will no longer be applicable to the Company because of the Company’s contribution of its unconsolidated investment in Citrus to ETP, a subsidiary of ETE.  In the successor period, the Company’s EITR was impacted by non-deductible excess parachute payments resulting from Merger-related employee severance expenses.