Delaware | 001-14039 | 64-0844345 |
(State or other jurisdiction of | (Commission File Number) | (I.R.S. Employer |
incorporation or organization) | Identification Number) |
Exhibit Number | Title of Document | |
99.1 | Unaudited pro forma condensed consolidated financial statements and accompanying notes of Callon Petroleum Company as of and for the nine months ended September 30, 2013 and for the year ended December 31, 2012 |
Callon Petroleum Company | |||
(Registrant) | |||
November 12, 2013 | By: /s/ B. F. Weatherly | ||
B.F. Weatherly | |||
Executive Vice President and Chief Financial Officer | |||
Exhibit Number | Title of Document | |
99.1 | Unaudited pro forma condensed consolidated financial statements and accompanying notes of Callon Petroleum Company as of and for the nine months ended September 30, 2013 and for the year ended December 31, 2012 |
CALLON PETROLEUM COMPANY | ||||||||||||
Unaudited Pro forma Condensed Consolidated Balance Sheet as of September 30, 2013 | ||||||||||||
($ in thousands, except share data) | ||||||||||||
The | ||||||||||||
Historical | Transaction | Pro forma | ||||||||||
ASSETS | ||||||||||||
Current assets | ||||||||||||
Cash and cash equivalents | $ | 869 | $ | 87,439 | (a) (b) | $ | 88,308 | |||||
Accounts receivable | 20,072 | (4,154 | ) | (b) | 15,918 | |||||||
Deferred tax asset | 3,323 | — | 3,323 | |||||||||
Other current assets | 1,738 | — | 1,738 | |||||||||
Total current assets | 26,002 | 83,285 | 109,287 | |||||||||
Oil and gas properties, full cost accounting method: | 354,825 | (84,950 | ) | (c) | 269,875 | |||||||
Investment in Medusa Spar, LLC | 7,776 | (7,776 | ) | (c) | — | |||||||
Other property and equipment, net | 10,635 | — | 10,635 | |||||||||
Deferred tax asset | 60,198 | — | 60,198 | |||||||||
Other assets, net | 8,005 | (244 | ) | (e) | 7,761 | |||||||
Total assets | $ | 467,441 | $ | (9,685 | ) | $ | 457,756 | |||||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||||||
Current liabilities | ||||||||||||
Accounts payable and accrued liabilities | $ | 50,523 | $ | (4,715 | ) | (b) | $ | 45,808 | ||||
Asset retirement obligations | 6,002 | (566 | ) | (d) | 5,436 | |||||||
Total current liabilities | 56,525 | (5,281 | ) | 51,244 | ||||||||
Long-term debt | 108,220 | — | 108,220 | |||||||||
Credit facility | 17,000 | — | 17,000 | |||||||||
Asset retirement obligations | 5,505 | (3,917 | ) | (d) | 1,588 | |||||||
Other long-term liabilities | 3,579 | (487 | ) | (e) | 3,092 | |||||||
Total liabilities | 190,829 | (9,685 | ) | 181,144 | ||||||||
Stockholders' equity | 276,612 | — | 276,612 | |||||||||
Total liabilities and stockholders' equity | $ | 467,441 | $ | (9,685 | ) | $ | 457,756 |
The unaudited pro forma condensed consolidated balance sheet includes the following adjustments: | ||
(a) | Reflects transactions related to cash proceeds received, net of cash flow from operations (revenues less lease operating expenses) of conveyed properties attributable to the period from the July 1, 2013 effective date through the respective transaction closing dates, and net of transaction costs. | |
(b) | Reflects the elimination of receivables and payables related to the working interest sold. | |
(c) | Reflects the elimination of investment in evaluated properties related to the properties sold. | |
(d) | Reflects the elimination of asset retirement obligations associated with the working interest sold. | |
(e) | Reflects the elimination of imbalances associated with the working interest sold. |
CALLON PETROLEUM COMPANY | ||||||||||||
Unaudited Pro forma Condensed Consolidated Statement of Operations for the Year Ended December 31, 2012 | ||||||||||||
($ in thousands, except share data) | ||||||||||||
The Combined | ||||||||||||
Historical | Transactions | Pro Forma | ||||||||||
Operating revenues: | ||||||||||||
Total oil and natural gas revenues | 110,733 | (62,947 | ) | (f) | 47,786 | |||||||
Operating expenses: | ||||||||||||
Lease operating expenses | 26,554 | (9,529 | ) | (f) | 17,025 | |||||||
Depreciation, depletion and amortization | 49,701 | (22,722 | ) | (g) | 26,979 | |||||||
General and administrative | 20,358 | — | 20,358 | |||||||||
Accretion expense | 2,253 | (865 | ) | (h) | 1,388 | |||||||
Impairment of other property and equipment | 1,177 | — | 1,177 | |||||||||
100,043 | (33,116 | ) | 66,927 | |||||||||
Income from operations | 10,690 | (29,831 | ) | (19,141 | ) | |||||||
Other (income) expenses: | ||||||||||||
Interest expense | 9,108 | — | 9,108 | |||||||||
Other (income) | (1,796 | ) | — | (1,796 | ) | |||||||
Gain on early extinguishment of debt | (1,366 | ) | — | (1,366 | ) | |||||||
Total other expenses | 5,946 | — | 5,946 | |||||||||
Income (loss) before income taxes | 4,744 | (29,831 | ) | (25,087 | ) | |||||||
Income tax expense (benefit) | 2,223 | (10,441 | ) | (i) | (8,218 | ) | ||||||
Income (loss) before equity in earnings of Medusa Spar LLC | 2,521 | (19,390 | ) | (16,869 | ) | |||||||
Equity in earnings of Medusa Spar LLC, net of tax | 226 | (226 | ) | (f) | — | |||||||
Net income (loss) available to common shares | $ | 2,747 | $ | (19,616 | ) | $ | (16,869 | ) | ||||
Net income (loss) per common share: | ||||||||||||
Basic | $ | 0.07 | $ | (0.43 | ) | |||||||
Diluted | $ | 0.07 | $ | (0.43 | ) | |||||||
Shares used in computing net income (loss) per share amounts: | ||||||||||||
Basic | 39,522 | 39,522 | ||||||||||
Diluted | 40,337 | 39,522 |
The unaudited pro forma condensed consolidated statements of operations includes the following adjustments: | ||
(f) | Reflects the elimination of revenues and direct operating expenses attributable to the working interest sold. | |
(g) | Reflects the elimination of depreciation, depletion and amortization expense attributable to the working interest sold. | |
(h) | Reflects the elimination of accretion expense attributable to the working interest sold. | |
(i) | Reflects the income tax expense at the federal statutory rate of 35% attributable to the working interest sold. |
CALLON PETROLEUM COMPANY | ||||||||||||
Unaudited Pro forma Condensed Consolidated Statement of Operations for the Nine Months Ended September 30, 2013 | ||||||||||||
($ in thousands, except share data) | ||||||||||||
The | ||||||||||||
Historical | Transaction | Pro Forma | ||||||||||
Operating revenues: | ||||||||||||
Total oil and natural gas revenues | 76,098 | (32,310 | ) | (f) | 43,788 | |||||||
Operating expenses: | ||||||||||||
Lease operating expenses | 18,629 | (5,957 | ) | (f) | 12,672 | |||||||
Depreciation, depletion and amortization | 33,603 | (14,636 | ) | (g) | 18,967 | |||||||
General and administrative | 14,110 | — | 14,110 | |||||||||
Accretion expense | 1,556 | (566 | ) | (h) | 990 | |||||||
67,898 | (21,159 | ) | 46,739 | |||||||||
Income from operations | 8,200 | (11,151 | ) | (2,951 | ) | |||||||
Other (income) expenses: | ||||||||||||
Interest expense | 4,469 | — | 4,469 | |||||||||
Other expense, net | 1,755 | — | 1,755 | |||||||||
Total other expenses | 6,224 | — | 6,224 | |||||||||
Income (loss) before income taxes | 1,976 | (11,151 | ) | (9,175 | ) | |||||||
Income tax expense (benefit) | 950 | (3,903 | ) | (i) | (2,953 | ) | ||||||
Income (loss) before equity in earnings of Medusa Spar LLC | 1,026 | (7,248 | ) | (6,222 | ) | |||||||
Equity in earnings of Medusa Spar LLC, net of tax | 14 | (14 | ) | (f) | — | |||||||
Net income (loss) | 1,040 | (7,262 | ) | (6,222 | ) | |||||||
Preferred stock dividends | (2,654 | ) | — | (2,654 | ) | |||||||
Net income (loss) available to common shares | $ | (1,614 | ) | $ | (7,262 | ) | $ | (8,876 | ) | |||
Net income (loss) per common share: | ||||||||||||
Basic | $ | (0.04 | ) | $ | (0.22 | ) | ||||||
Diluted | (0.04 | ) | (0.22 | ) | ||||||||
Shares used in computing net income per share amounts: | ||||||||||||
Basic | 40,064 | 40,064 | ||||||||||
Diluted | 40,064 | 40,064 |
The unaudited pro forma condensed consolidated statements of operations includes the following adjustments: | ||
(f) | Reflects the elimination of revenues and direct operating expenses attributable to the working interest sold. | |
(g) | Reflects the elimination of depreciation, depletion and amortization expense attributable to the working interest sold. | |
(h) | Reflects the elimination of accretion expense attributable to the working interest sold. | |
(i) | Reflects the income tax expense at the federal statutory rate of 35% attributable to the working interest sold. |
?B\=5QG+[6VGZ_\`#'VG^R%^U[X%^!WPHF\.^(X=7?4& MU*>[_P!"M%DC\MEC`Y+C^[7N/_#R/X4?\^WB+_P!C_\`CM?EW17'6R7"UJDJ MLKW;ON=5'-\31IQIQM9:;'ZB?\/(_A1_S[>(O_`&/_X[1_P\C^%'_/MXB_\` M`&/_`..U^7=%9?V#@_/[_P#@&W]N8OR^X_43_AY'\*/^?;Q%_P"`,?\`\=K` M\6_MV?`CQYI3:9XB\/:KK6GMU@O-*AE7ZC,G!K\VJ*%D6$BTTY+YB>=XIJSM M]Q[E\58/@)K9FO?`>H>*/#=TP9QI^H6*W-IGL`_F^9'_`./UX;117MT:7L8\ MO,WZN[/&JU/:RYN5+T5@HHHK