Supplemental Condensed Consolidated Financial Information

3 Months Ended

Mar. 31, 2021

Supplemental Condensed Consolidated Financial Information [Abstract]

Condensed Consolidated Financial Statements

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION

The Notes of the Predecessor company were registered securities until they were cancelled on the Effective Date. As a result, we are required to present the following condensed consolidating financial information for the Predecessor Periods under to Rule 3-10 of the SEC's Regulation S-X, Financial Statements of Guarantors and Issuers of Guaranteed Securities Registered or Being Registered. Our Successor Exit credit agreement is not a registered security. Therefore, the presentation of condensed consolidating financial information is not required for the Successor Period.

For the following footnote:

•we are called "Parent",

•the direct subsidiaries are 100% owned by the Parent and the guarantee is full and unconditional and joint and several and called "Combined Guarantor Subsidiaries", and

•Superior and its subsidiaries and the Operator are called "Non-Guarantor Subsidiaries."

The following unaudited supplemental condensed consolidating financial information reflects the Parent's separate accounts, the combined accounts of the Combined Guarantor Subsidiaries', the combined accounts of the Non-Guarantor Subsidiaries', the combined consolidating adjustments and eliminations, and the Parent's consolidated amounts for the periods indicated.

Condensed Consolidating Statements of Operations (Unaudited)

	Predecessor
	Three Months Ended March 31, 2020
	Parent		Combined Guarantor Subsidiaries		Combined Non-Guarantor Subsidiaries		Consolidating Adjustments		Total Consolidated
	(In thousands)
Revenues	$	—	$	85,154	$	42,680	$	(5,458)	$	122,376
Expenses:
Operating costs	—		56,864		32,317		(5,458)		83,723
Depreciation, depletion, and amortization	871		48,473		12,273		—		61,617
Impairments	—		677,962		63,962		—		741,924
Loss on abandonment of assets	—		17,554		—		—		17,554
General and administrative	—		11,553		—		—		11,553
(Gain) loss on disposition of assets	—		396		(6)		—		390
Total operating costs	871		812,802		108,546		(5,458)		916,761
Loss from operations	(871)		(727,648)		(65,866)		—		(794,385)
Interest, net	(12,739)		—		(518)		—		(13,257)
Gain on derivatives	483		—		—		—		483
Other, net	7		35		18		—		60
Loss before income taxes	(13,120)		(727,613)		(66,366)		—		(807,099)
Income tax benefit	—		(3,425)		—		—		(3,425)
Equity in net earnings from investment in subsidiaries, net of taxes	(790,554)		—		—		790,554		—
Net loss	(803,674)		(724,188)		(66,366)		790,554		(803,674)
Less: net loss attributable to non-controlling interest	(33,180)		—		(33,180)		33,180		(33,180)
Net loss attributable to Unit Corporation	$	(770,494)	$	(724,188)	$	(33,186)	$	757,374	$	(770,494)

Condensed Consolidating Statements of Cash Flows (Unaudited)

	Predecessor
	Three Months Ended March 31, 2020
	Parent		Combined Guarantor Subsidiaries		Combined Non-Guarantor Subsidiaries		Consolidating Adjustments		Total Consolidated
	(In thousands)
OPERATING ACTIVITIES:
Net cash provided by (used in) operating activities	$	(66,578)	$	86,663	$	9,827	$	—	$	29,912
INVESTING ACTIVITIES:
Capital expenditures	(421)		(13,051)		(4,056)		—		(17,528)
Producing properties and other acquisitions	—		(210)		—		—		(210)
Proceeds from disposition of assets	—		1,700		51		—		1,751
Net cash used in investing activities	(421)		(11,561)		(4,005)		—		(15,987)
FINANCING ACTIVITIES:
Borrowings under credit agreement	39,300		—		32,100		—		71,400
Payments under credit agreement	(23,500)		—		(11,600)		—		(35,100)
Intercompany borrowings (advances), net	75,016		(75,089)		73		—		—
Net payments on finance leases	—		—		(1,026)		—		(1,026)
Employee taxes paid by withholding shares	(43)		—		—		—		(43)
Bank overdrafts	(7,269)		—		(1,464)		—		(8,733)
Net cash provided by (used in) financing activities	83,504		(75,089)		18,083		—		26,498
Net increase in cash and cash equivalents	16,505		13		23,905		—		40,423
Cash and cash equivalents, beginning of period	503		68		—		—		571
Cash and cash equivalents, end of period	$	17,008	$	81	$	23,905	$	—	$	40,994