Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2011

Assets and Liabilities Measured at Fair Value on a Recurring Basis

The following table presents the Company’s derivative assets and liabilities measured at fair value on a recurring basis for each hierarchy level:


	Fair Value Measurements Using
	Quoted Price in			Significant	Significant
	Active		Other		Unobservable		Total
	Markets		Inputs		Inputs		Fair					Carrying
	(Level 1)		(Level 2)		(Level 3)		Value		Netting ⁽¹⁾			Amount
					(In millions)
June 30, 2011
Assets:
Commodity Derivative Instruments	$	—	$	369	$	—	$	369	$	(111	)	$	258

Liabilities:
Commodity Derivative Instruments		—		465		—		465		(111	)		354

December 31, 2010
Assets:
Commodity Derivative Instruments	$	—	$	454	$	—	$	454	$	(148	)	$	306

Liabilities:
Commodity Derivative Instruments		—		466		—		466		(148	)		318


(1)		The derivative fair values above are based on analysis of each contract on a gross basis, even where the legal right of offset exits, as required by ASC Topic 820. The carrying amounts of derivative assets and liabilities reported on the consolidated balance sheet are determined by netting asset and liability positions where counterparty master netting arrangements contain provisions for net settlement. See Note 3 — Derivative Instruments and Hedging Activities of this Form 10-Q for a discussion of amounts recorded on the consolidated balance sheet at June 30, 2011 and December 31, 2010.

- Definition

Tabular disclosure of the total amount of gains or losses for the period which are included in earnings or resulted in a change to net assets which gains or losses have arisen from the use of significant unobservable inputs (Level 3) to measure the fair value of assets and liabilities. Such gains or losses are attributable to the change in unrealized gains or losses relating to those assets and liabilities so valued which are still held at the reporting date and which change are also considered for disclosure; it may be expected that a description of where those unrealized gains or losses are reported in the statement of income or the statement of financial position would also be disclosed.

+ References+ Details