Chesapeake Energy swings to 2Q loss on oil and gas hedging losses

Date : 07/31/2008 @ 4:56PM
Source : TFN
Stock : Chesapeake Energy Co (CHK)
Quote : 13.87  -0.38 (-2.67%) @ 3:18PM
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Chesapeake Energy swings to 2Q loss on oil and gas hedging losses

        SAN FRANCISCO (Thomson Financial) - Chesapeake Energy late Thursday reported
a second-quarter net loss of $1.65 billion, or $3.17 a share, versus a year-ago
profit of $492 million, or $1.01 a share, in the year-ago period.
    The most recent quarter included a unrealized noncash after-tax
mark-to-market loss of $2.085 billion, and a reduction of net income available
to common shareholders of $43 million resulting from exchanges of the companys
preferred stock for common stock. 
    Excluding these items, the company earned 89 cents a share in the quarter, a
penny ahead of the mean estimate of analysts polled by Thomson Reuters.
    Due to oil and gas hedging losses, revenue in the quarter ended June 30 fell
to negative $455 million from $2.11 billion last year.
    The Oklahoma City-base energy company said daily production for the 2008
second quarter averaged 2.328 bcfe, an increase of 25% over last year.
    Shares of Chesapeake closed at $50.15.
Gabriel Madway
gm

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