Medical Facility Sues ConocoPhillips for Eliminating it from Health Plans
Aug 18 14
A Texas medical facility filed a lawsuit alleging that ConocoPhillips deliberately excluded it from its employee health plans. The complaint alleges North Cypress Medical Center previously was an out-of-network provider on plans issued to ConocoPhillips employees. In January 2012, ConocoPhillips amended its plans to exclude North Cypress from providing all goods and services with the exception of "true emergencies". The lawsuit alleges plan members paid for benefits that, in turn, benefitted North Cypress and, therefore, North Cypress has standing under ERISA to sue ConocoPhillips on both members' and its own behalf for damages.
ConocoPhillips Reports Earnings and Production Results for the Second Quarter and Six Months Ended June 30, 2014; Provides Production Guidance for the Third Quarter, Fourth Quarter and Full Year of 2014; Announces Impairment Charges
Jul 31 14
ConocoPhillips reported earnings and production results for the second quarter and six months ended June 30, 2014. The company reported second-quarter 2014 earnings of $2.1 billion, or $1.67 per share, compared with second-quarter 2013 earnings of $2.1 billion, or $1.65 per share. Adjusted earnings were $2.0 million or $1.61 per share against $1.75 million or $1.41 per share reported last year. Adjusted earnings improved compared with second-quarter 2013 primarily due to higher realized prices and volumes, partially offset by higher depreciation and operating costs associated with new production, as well as higher corporate expenses. For the quarter, ConocoPhillips generated $4.24 billion in cash from operations, excluding working capital. Cash provided by continuing operating activities was $3.56 billion, reflecting a $0.68 billion increase in working capital. The company funded $4.2 billion in capital expenditures and investments for continuing operations and paid dividends of $0.9 billion.
ConocoPhillips' six-month 2014 earnings were $4.2 billion, or $3.38 per share, both flat compared with the same period in 2013. Six-month 2014 adjusted earnings were $4.3 billion, or $3.42 per share, compared with six-month 2013 adjusted earnings of $3.5 billion, or $2.83 per share. In the first half of 2014, cash provided by continuing operating activities was $9.8 billion. Excluding a $0.1 billion increase in working capital and a $1.3 billion distribution from the company's 50% owned FCCL business venture, ConocoPhillips generated $8.6 billion in cash from operations. Additionally, the company funded $8.1 billion in capital expenditures and investments for continuing operations, paid dividends of $1.7 billion, and repaid debt of $0.5 billion.
Production from continuing operations, excluding Libya, for the second quarter of 2014 was 1,556 MBOED, an increase of 95 MBOED compared with the same period a year ago, reflecting 35 MBOED lower downtime in the second quarter of 2014 and 60 MBOED, or 4%, net organic growth. This increase was primarily due to new production from development programs and major projects, partially offset by normal field decline.
Production from continuing operations, excluding Libya, for the first six months of 2014 was 1,543 MBOED, compared with 1,482 MBOED for the same period in 2013. Production increased due to new production from development programs and major projects, partially offset by normal field decline.
The third and fourth quarter 2014 production guidance for continuing operations, excluding Libya, is unchanged. Third-quarter 2014 production is expected to be 1,435 to 1,485 MBOED. This range reflects a high level of seasonal planned maintenance and turnaround activity.
Fourth-quarter 2014 production is expected to be 1,590 to 1,640 MBOED, reflecting a strong anticipated exit rate at year-end.
The company is raising the midpoint of its 2014 full-year production outlook for continuing operations, excluding Libya. Full-year production guidance is now approximately 1,525 to 1,550 MBOED.
For the quarter, the company also reported impairments of $109 million.