Table of Contents Index to Financial Statements Cash Flow from Investing Activities · Total E&P capital investing decreased $17 million for the year ended December 31, 2018, compared to the same period in 2017, due to an $11 million decrease in direct E&P capital investing and a $6 million decrease in capitalized interest and internal costs. Of the $1,231 million invested in our E&P segment for the year ended December 31, 2018, 95% was invested in the Appalachian Basin. · For the year ended December 31, 2017, total E&P capital investing increased $625 million, compared to the same period in 2016, due to a $652 million increase in direct E&P capital investing which was only partially offset by a $27 million decrease in capitalized interest and internal costs. The significant increase in 2017 capital investing resulted from our decision to suspend drilling activity in the first half of 2016 due to an unfavorable commodity price environment. We began increasing activity in the second half of 2016. · The increase in capitalized interest for the year ended December 31, 2018, as compared to the same period in 2016, was primarily due to the increase in cost of borrowing as we reduced our near-term debt which had lower interest rates. · The decrease in capitalized interest for the year ended December 31, 2017, as compared to the same period in 2016, was primarily due to the continued evaluation of a portion of our Southwest Appalachia assets acquired in December 2014. · Midstream capital investing decreased $23 million for the year ended December 31, 2018, compared to the same period in 2017, primarily due to the shift in focus to our core E&P assets. · For the year ended December 31, 2017, Midstream capital investing increased $11 million, compared to the same period in 2016, primarily due to the purchase of several leased compressors in 2017 which were subsequently sold to third parties for a net gain of $6 million. For the years ended December 31, (in millions) 2018 2017 2016 Cash flows from investing activities: Additions to properties and equipment $ 1,290  $ 1,268  $ 593  Adjustments for capital investments: Changes in capital accruals (53) – 43  Other  (1) 11  25  12  Total capital investing $ 1,248  $ 1,293  $ 648  (1) Includes capitalized non-cash stock-based compensation and costs to retire assets, which are classified as cash used in operating activities. Capital Investing For the years ended December 31, Increase/ Increase/ (in millions except percentages) 2018 (Decrease) 2017 (Decrease) 2016 E&P capital investing $ 1,231  $ 1,248  $ 623  Midstream capital investing 9  32  21  Other capital investing 8  13  4  Total capital investing $ 1,248  (3%) $ 1,293 100% $ 648  For the years ended December 31, (in millions) 2018 2017 2016 E&P Capital Investments by Type: Exploratory and development drilling, including workovers $ 895  $ 878  $ 358  Acquisitions of properties 51  86  23  Seismic expenditures 4  7  1  Water infrastructure projects 60  37  2  Drilling rigs, sand facility and other 15  28  – Capitalized interest and expenses 206  212  239  Total E&P capital investments $ 1,231  $ 1,248  $ 623  E&P Capital Investments by Area Northeast Appalachia $ 422  $ 489  $ 204  Southwest Appalachia 691  547  288  Fayetteville Shale 33  114  86  New Ventures & Other  (1) 85  98  45  Total E&P capital investments $ 1,231  $ 1,248  $ 623  62