Guarantor and Non-Guarantor Financial Information (Tables)

9 Months Ended

Jun. 30, 2017

Guarantor and Non-Guarantor Financial Information

Schedule of Consolidated Condensed Statements of Operations

CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS

(in thousands)

	Three Months Ended June 30, 2017
	Guarantor/		Issuer		Non-Guarantor				Total
	Parent		Subsidiary		Subsidiaries		Eliminations		Consolidated
Operating revenue	$	—	$	439,227	$	59,355	$	(18)	$	498,564
Operating costs and other		3,364		463,220		60,224		(216)		526,592
Operating loss from continuing operations		(3,364)		(23,993)		(869)		198		(28,028)
Other income (expense), net		(4)		2,052		(1,061)		(198)		789
Interest expense		(87)		(5,294)		(983)		—		(6,364)
Equity in net income (loss) of subsidiaries		(19,510)		(85)		—		19,595		—
Loss from continuing operations before income taxes		(22,965)		(27,320)		(2,913)		19,595		(33,603)
Income tax provision		(1,166)		(7,360)		(1,952)		—		(10,478)
Loss from continuing operations		(21,799)		(19,960)		(961)		19,595		(23,125)
Loss from discontinued operations before income taxes		—		—		3,223		—		3,223
Income tax provision		—		—		1,897		—		1,897
Loss from discontinued operations		—		—		1,326		—		1,326
Net income (loss)	$	(21,799)	$	(19,960)	$	365	$	19,595	$	(21,799)

CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS

(in thousands)

	Three Months Ended June 30, 2016
	Guarantor/		Issuer		Non-Guarantor				Total
	Parent		Subsidiary		Subsidiaries		Eliminations		Consolidated
Operating revenue	$	—	$	315,077	$	51,429	$	(20)	$	366,486
Operating costs and other		3,712		314,620		61,700		(290)		379,742
Operating income (loss) from continuing operations		(3,712)		457		(10,271)		270		(13,256)
Other income, net		16		1,290		276		(270)		1,312
Interest expense		(62)		(5,597)		(748)		—		(6,407)
Equity in net loss of subsidiaries		(18,572)		(7,796)		—		26,368		—
Loss from continuing operations before income taxes		(22,330)		(11,646)		(10,743)		26,368		(18,351)
Income tax provision		(1,130)		7,230		(3,258)		—		2,842
Loss from continuing operations		(21,200)		(18,876)		(7,485)		26,368		(21,193)
Income from discontinued operations before income taxes		—		—		2,193		—		2,193
Income tax provision		—		—		2,200		—		2,200
Loss from discontinued operations		—		—		(7)		—		(7)
Net loss	$	(21,200)	$	(18,876)	$	(7,492)	$	26,368	$	(21,200)

CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS

(in thousands)

	Nine Months Ended June 30, 2017
	Guarantor/		Issuer		Non-Guarantor				Total
	Parent		Subsidiary		Subsidiaries		Eliminations		Consolidated
Operating revenue	$	—	$	1,103,877	$	168,611	$	(51)	$	1,272,437
Operating costs and other		10,124		1,218,266		187,588		(677)		1,415,301
Operating loss from continuing operations		(10,124)		(114,389)		(18,977)		626		(142,864)
Other income, net		(3)		4,885		(578)		(626)		3,678
Interest expense		(260)		(15,151)		(2,092)		—		(17,503)
Equity in net loss of subsidiaries		(99,179)		(10,874)		—		110,053		—
Loss from continuing operations before income taxes		(109,566)		(135,529)		(21,647)		110,053		(156,689)
Income tax provision		(3,886)		(37,320)		(9,331)		—		(50,537)
Loss from continuing operations		(105,680)		(98,209)		(12,316)		110,053		(106,152)
Loss from discontinued operations before income taxes		—		—		2,705		—		2,705
Income tax provision		—		—		2,233		—		2,233
Loss from discontinued operations		—		—		472		—		472
Net loss	$	(105,680)	$	(98,209)	$	(11,844)	$	110,053	$	(105,680)

CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS

(in thousands)

	Nine Months Ended June 30, 2016
	Guarantor/		Issuer		Non-Guarantor				Total
	Parent		Subsidiary		Subsidiaries		Eliminations		Consolidated
Operating revenue	$	—	$	1,103,361	$	189,216	$	(53)	$	1,292,524
Operating costs and other		9,573		1,003,369		213,640		(1,093)		1,225,489
Operating income (loss) from continuing operations		(9,573)		99,992		(24,424)		1,040		67,035
Other income (expense), net		(235)		2,680		1,831		(1,040)		3,236
Interest expense		(186)		(15,587)		(879)		—		(16,652)
Equity in net income (loss) of subsidiaries		22,042		(23,811)		—		1,769		—
Income (loss) from continuing operations before income taxes		12,048		63,274		(23,472)		1,769		53,619
Income tax provision		(3,959)		42,114		(4,415)		—		33,740
Income (loss) from continuing operations		16,007		21,160		(19,057)		1,769		19,879
Income from discontinued operations before income taxes		—		—		2,241		—		2,241
Income tax provision		—		—		6,113		—		6,113
Loss from discontinued operations		—		—		(3,872)		—		(3,872)
Net income (loss)	$	16,007	$	21,160	$	(22,929)	$	1,769	$	16,007

Schedule of Consolidated Condensed Statements of Comprehensive Income

CONSOLIDATED CONDENSED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

(in thousands)

	Three Months Ended June 30, 2017
	Guarantor/		Issuer		Non-Guarantor				Total
	Parent		Subsidiary		Subsidiaries		Eliminations		Consolidated
Net income (loss)	$	(21,799)	$	(19,960)	$	365	$	19,595	$	(21,799)
Other comprehensive income (loss), net of income taxes:
Unrealized depreciation on securities, net		—		(6,899)		—		—		(6,899)
Minimum pension liability adjustments, net		104		261		—		—		365
Other comprehensive income (loss)		104		(6,638)		—		—		(6,534)
Comprehensive income (loss)	$	(21,695)	$	(26,598)	$	365	$	19,595	$	(28,333)

CONSOLIDATED CONDENSED STATEMENTS OF COMPREHENSIVE INCOME

(in thousands)

	Three Months Ended June 30, 2016
	Guarantor/		Issuer		Non-Guarantor				Total
	Parent		Subsidiary		Subsidiaries		Eliminations		Consolidated
Net loss	$	(21,200)	$	(18,876)	$	(7,492)	$	26,368	$	(21,200)
Other comprehensive income, net of income taxes:
Unrealized depreciation on securities, net		—		9,744		—		—		9,744
Minimum pension liability adjustments, net		107		207		—		—		314
Other comprehensive income		107		9,951		—		—		10,058
Comprehensive loss	$	(21,093)	$	(8,925)	$	(7,492)	$	26,368	$	(11,142)

CONSOLIDATED CONDENSED STATEMENTS OF COMPREHENSIVE INCOME

(in thousands)

	Nine Months Ended June 30, 2017
	Guarantor/		Issuer		Non-Guarantor				Total
	Parent		Subsidiary		Subsidiaries		Eliminations		Consolidated
Net loss	$	(105,680)	$	(98,209)	$	(11,844)	$	110,053	$	(105,680)
Other comprehensive income (loss), net of income taxes:
Unrealized depreciation on securities, net		—		(4,994)		—		—		(4,994)
Minimum pension liability adjustments, net		316		781		—		—		1,097
Other comprehensive income (loss)		316		(4,213)		—		—		(3,897)
Comprehensive loss	$	(105,364)	$	(102,422)	$	(11,844)	$	110,053	$	(109,577)

CONSOLIDATED CONDENSED STATEMENTS OF COMPREHENSIVE INCOME

(in thousands)

	Nine Months Ended June 30, 2016
	Guarantor/		Issuer		Non-Guarantor				Total
	Parent		Subsidiary		Subsidiaries		Eliminations		Consolidated
Net income (loss)	$	16,007	$	21,160	$	(22,929)	$	1,769	$	16,007
Other comprehensive income (loss), net of income taxes:
Unrealized depreciation on securities, net		—		(2,719)		—		—		(2,719)
Minimum pension liability adjustments, net		322		618		—		—		940
Other comprehensive income (loss)		322		(2,101)		—		—		(1,779)
Comprehensive income (loss)	$	16,329	$	19,059	$	(22,929)	$	1,769	$	(14,228)

Schedule of Consolidated Condensed Balance Sheets

CONSOLIDATED CONDENSED BALANCE SHEETS

(in thousands)

	June 30, 2017
	Guarantor/		Issuer		Non-Guarantor				Total
	Parent		Subsidiary		Subsidiaries		Eliminations		Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	(1,141)	$	559,945	$	13,983	$	—	$	572,787
Short-term investments		—		39,894		—		—		39,894
Accounts receivable, net of reserve		2,095		380,873		57,909		(5)		440,872
Inventories		—		103,066		35,337		—		138,403
Prepaid expenses and other		14,701		7,159		66,820		(30,255)		58,425
Current assets of discontinued operations		—		—		7		—		7
Total current assets		15,655		1,090,937		174,056		(30,260)		1,250,388
Investments		13,606		63,380		—		—		76,986
Property, plant and equipment, net		51,118		4,658,226		353,570		—		5,062,914
Intercompany		90,685		1,736,767		269,194		(2,096,646)		—
Goodwill		—		—		51,967		—		51,967
Intangible assets, net of amortization		—		—		51,569		—		51,569
Other assets		4,992		5,577		9,498		—		20,067
Investment in subsidiaries		5,480,782		197,768		—		(5,678,550)		—
Total assets	$	5,656,838	$	7,752,655	$	909,854	$	(7,805,456)	$	6,513,891
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	80,333	$	52,929	$	3,944	$	—	$	137,206
Accrued liabilities		26,104		172,480		28,319		(30,260)		196,643
Current liabilities of discontinued operations		—		—		80		—		80
Total current liabilities		106,437		225,409		32,343		(30,260)		333,929
Noncurrent liabilities:
Long-term debt		—		492,637		—		—		492,637
Deferred income taxes		(9,099)		1,272,699		61,650		—		1,325,250
Intercompany		1,284,237		255,190		557,119		(2,096,546)		—
Other		25,359		41,849		41,738		—		108,946
Noncurrent liabilities of discontinued operations		—		—		3,225		—		3,225
Total noncurrent liabilities		1,300,497		2,062,375		663,732		(2,096,546)		1,930,058
Shareholders’ equity:
Common stock		11,190		100		—		(100)		11,190
Additional paid-in capital		478,231		51,993		967		(52,960)		478,231
Retained earnings		3,954,705		5,411,898		212,812		(5,624,710)		3,954,705
Accumulated other comprehensive income		(4,101)		880		—		(880)		(4,101)
Treasury stock, at cost		(190,121)		—		—		—		(190,121)
Total shareholders’ equity		4,249,904		5,464,871		213,779		(5,678,650)		4,249,904
Total liabilities and shareholders’ equity	$	5,656,838	$	7,752,655	$	909,854	$	(7,805,456)	$	6,513,891

CONSOLIDATED CONDENSED BALANCE SHEETS

(in thousands)

	September 30, 2016
	Guarantor/		Issuer		Non-Guarantor				Total
	Parent		Subsidiary		Subsidiaries		Eliminations		Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	(955)	$	899,028	$	7,488	$	—	$	905,561
Short-term investments		—		44,148		—		—		44,148
Accounts receivable, net of reserve		2		325,325		51,121		(1,279)		375,169
Inventories		—		87,946		36,379		—		124,325
Prepaid expenses and other		6,928		20,625		71,753		(21,239)		78,067
Assets held for sale		—		18,471		26,881		—		45,352
Current assets of discontinued operations		—		—		64		—		64
Total current assets		5,975		1,395,543		193,686		(22,518)		1,572,686
Investments		13,431		71,524		—		—		84,955
Property, plant and equipment, net		59,173		4,716,736		368,824		—		5,144,733
Intercompany		16,147		1,399,323		260,939		(1,676,409)		—
Goodwill		—		—		4,718		—		4,718
Intangible assets, net of amortization		—		—		919		—		919
Other assets		233		267		23,508		—		24,008
Investment in subsidiaries		5,579,713		208,118		—		(5,787,831)		—
Total assets	$	5,674,672	$	7,791,511	$	852,594	$	(7,486,758)	$	6,832,019
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	80,000	$	10,868	$	5,828	$	(1,274)	$	95,422
Accrued liabilities		1,822		176,985		35,598		20,234		234,639
Current liabilities of discontinued operations		—		—		59		—		59
Total current liabilities		81,822		187,853		41,485		18,960		330,120
Noncurrent liabilities:
Long-term debt		—		491,847		—		—		491,847
Deferred income taxes		(5,930)		1,303,324		45,062		—		1,342,456
Intercompany		1,016,673		209,276		491,838		(1,717,787)		—
Other		21,182		36,379		45,220		—		102,781
Noncurrent liabilities of discontinued operations		—		—		3,890		—		3,890
Total noncurrent liabilities		1,031,925		2,040,826		586,010		(1,717,787)		1,940,974
Shareholders’ equity:
Common stock		11,140		100		—		(100)		11,140
Additional paid-in capital		448,452		47,533		549		(48,082)		448,452
Retained earnings		4,289,807		5,510,105		224,550		(5,734,655)		4,289,807
Accumulated other comprehensive income (loss)		(204)		5,094		—		(5,094)		(204)
Treasury stock, at cost		(188,270)		—		—		—		(188,270)
Total shareholders’ equity		4,560,925		5,562,832		225,099		(5,787,931)		4,560,925
Total liabilities and shareholders’ equity	$	5,674,672	$	7,791,511	$	852,594	$	(7,486,758)	$	6,832,019

Schedule of Consolidated Condensed Statements of Cash Flows

CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS

(in thousands)

	Nine Months Ended June 30, 2017
	Guarantor/		Issuer		Non-Guarantor				Total
	Parent		Subsidiary		Subsidiaries		Eliminations		Consolidated
Net cash provided by (used in) operating activities	$	(4,457)	$	231,133	$	9,458	$	—	$	236,134
INVESTING ACTIVITIES:
Capital expenditures		(2,344)		(293,946)		(3,985)		—		(300,275)
Purchase of short-term investments		—		(48,958)		—		—		(48,958)
Acquisition of business, net cash received		(70,416)		—		—		—		(70,416)
Proceeds from sale of short-term investments		—		53,150		—		—		53,150
Intercompany transfers		72,760		(72,760)		—		—		—
Proceeds from asset sales		—		17,316		605		—		17,921
Net cash provided by (used in) investing activities		—		(345,198)		(3,380)		—		(348,578)
FINANCING ACTIVITIES:
Intercompany transfers		229,061		(229,061)		—		—		—
Dividends paid		(229,061)		—		—		—		(229,061)
Exercise of stock options, net of tax withholding		10,458		—		—		—		10,458
Tax withholdings related to net share settlements of restricted stock		(5,848)		—		—		—		(5,848)
Excess tax benefit from stock-based compensation		(339)		4,043		417		—		4,121
Net cash provided by (used in) financing activities		4,271		(225,018)		417		—		(220,330)
Net increase (decrease) in cash and cash equivalents		(186)		(339,083)		6,495		—		(332,774)
Cash and cash equivalents, beginning of period		(955)		899,028		7,488		—		905,561
Cash and cash equivalents, end of period	$	(1,141)	$	559,945	$	13,983	$	—	$	572,787

CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS

(in thousands)

	Nine Months Ended June 30, 2016
	Guarantor/		Issuer		Non-Guarantor				Total
	Parent		Subsidiary		Subsidiaries		Eliminations		Consolidated
Net cash provided by (used in) operating activities	$	4,127	$	631,371	$	(20,088)	$	—	$	615,410
INVESTING ACTIVITIES:
Capital expenditures		(15,515)		(200,611)		(3,423)		—		(219,549)
Purchase of short-term investments		—		(36,958)		—		—		(36,958)
Proceeds from sale of short-term investments		—		32,681		—		—		32,681
Intercompany transfers		15,515		(15,515)		—		—		—
Proceeds from asset sales		8		10,956		1,840		—		12,804
Net cash provided by (used in) investing activities		8		(209,447)		(1,583)		—		(211,022)
FINANCING ACTIVITIES:
Debt issuance costs		—		(32)		—		—		(32)
Intercompany transfers		224,040		(224,040)		—		—		—
Dividends paid		(224,040)		—		—		—		(224,040)
Exercise of stock options, net of tax withholding		483		—		—		—		483
Tax withholdings related to net share settlements of restricted stock		(3,912)		—		—		—		(3,912)
Excess tax benefit from stock-based compensation		(788)		1,351		198		—		761
Net cash provided by (used in) financing activities		(4,217)		(222,721)		198		—		(226,740)
Net increase (decrease) in cash and cash equivalents		(82)		199,203		(21,473)		—		177,648
Cash and cash equivalents, beginning of period		(838)		693,273		36,949		—		729,384
Cash and cash equivalents, end of period	$	(920)	$	892,476	$	15,476	$	—	$	907,032