Table of Contents Index to Financial Statements ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA INDEX TO CONSOLIDATED FINANCIAL STATEMENTS 71 Page Management’s Report on Internal Control Over Financial Reporting 72 Report of Independent Registered Public Accounting Firm 72 Consolidated Statements of Operations for the three years ended December 31, 2019 74 Consolidated Statements of Comprehensive Income (Loss) for the three years ended December 31, 2019 75 Consolidated Balance Sheets as of December 31, 2019 and 2018 76 Consolidated Statements of Cash Flows for the three years ended December 31, 2019 77 Consolidated Statements of Changes in Equity for the three years ended December 31, 2019 78 Notes to Consolidated Financial Statements 79 Note 1 – Organization and Summary of Significant Accounting Policies 79 Note 2 – Restructuring Charges 84 Note 3 – Divestitures 85 Note 4 – Leases 86 Note 5 – Revenue Recognition 88 Note 6 – Derivatives and Risk Management 91 Note 7 – Reclassifications from Accumulated Other Comprehensive Income (Loss) 98 Note 8 – Fair Value Measurements 98 Note 9 – Debt 102 Note 10 – Commitments and Contingencies 104 Note 11 – Income Taxes 106 Note 12 – Asset Retirement Obligation 109 Note 13 – Retirement and Employee Benefit Plans 109 Note 14 – Stock-Based Compensation 114 Note 15 – Segment Information 118 Note 16 – Condensed Consolidating Financial Statements 120 Note 17 – Subsequent Events 127 Supplemental Quarterly Results 127 Supplemental Oil and Gas Disclosures 128