Jones Energy Issues 8-K Proving Details On Revision Of Previously Issued Financial Statements
Benzinga 9 years ago
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During the preparation of the condensed consolidating financial information of the Company and its subsidiaries as of and for the three and six month period ended June 30, 2017, it was determined that the Issuers Investment in subsidiaries and the related Eliminations at December 31, 2016 as filed in the Company’s 2016 Form 8-K were improperly calculated and understated by $453.2 million. Additionally, it was determined that the Guarantor Subsidiaries Intercompany payable balances and the related Eliminations and the Issuers Intercompany receivable and the related Eliminations at December 31, 2016 as filed in the Company’s 2016 Form 8-K were improperly calculated and overstated by $453.2 million and $80.0 million, respectively. In addition, it was determined that the Issuers Equity interest in income (loss) and the related Eliminations for the three and six month period ended June 30, 2016 as filed in the Company’s Quarterly Report on Form 10-Q as of and for the six months ended June 30, 2016 (the “second quarter 2016 Form 10-Q”) were improperly calculated and understated by $35.7 million and $5.8 million, respectively. Lastly, it was determined that the Issuers Adjustments to reconcile net income (loss) to net cash provided by operating activities and the related Eliminations for the six month period ended June 30, 2016 as filed in the Company’s second quarter 2016 Form 10-Q were improperly calculated and overstated by $5.8 million. The errors, which the Company has determined are not material to this disclosure, had no impact on the total assets of the Parent or the Guarantor Subsidiaries and are eliminated upon consolidation, and therefore have no impact on the Company’s consolidated financial condition, results of operations or cash flows.
In its previously filed Quarterly Report on Form 10-Q as of and for the six month period ended June 30, 2017, the Company included a revised Condensed Consolidating Balance Sheet as of December 31, 2016, the Condensed Consolidating Statement of Operations for the three and six month period ended June 30, 2016 and the Condensed Consolidating Statement of Cash Flows for the six months ended June 30, 2016.
This Form 8-K should be read in conjunction with the Form 8-K filed on June 8, 2017 and the Form 10-Q filed on May 5, 2017. Filed herewith as Exhibit 99.1 and incorporated by reference herein are the Condensed Consolidating Statement of Operations and Condensed Consolidating Statement of Cash Flows for the twelve months ended December 31, 2016, the Condensed Consolidating Balance Sheet as of December 31, 2015, the Condensed Consolidating Statement of Operations and Condensed Consolidating Statement of Cash Flows for the twelve months ended December 31, 2015, the Condensed Consolidating Statement of Operations and Condensed Consolidating Statement of
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Cash Flows for the twelve months ended December 31, 2014, the Condensed Consolidating Balance Sheet as of March 31, 2017, the Condensed Consolidating Statement of Operations and Condensed Consolidating Statement of Cash Flows for the three months ended March 31, 2017, and the Condensed Consolidating Statement of Operations and Condensed Consolidating Statement of Cash Flows for the three months ended March 31, 2016.
As a result of the errors in the preparation of the condensed consolidating financial information of the Company and its subsidiaries, it was determined that the Issuers Investment in subsidiaries and the related Eliminations at December 31, 2015 as filed in the Company’s 2016 Form 8-K were improperly calculated and understated by $536.9 million. Additionally, it was determined that the Guarantor Subsidiaries Intercompany payable balances and the related Eliminations and the Issuers Intercompany receivable and the related Eliminations at December 31, 2015 as filed in the Company’s 2016 Form 8-K were improperly calculated and overstated by $536.9 million and $317.4 million, respectively. Further, for the twelve month period ended December 31, 2016 as filed in the Company’s 2016 Form 8-K, it was determined that the Issuers Equity interest in income (loss) and the related Eliminations were improperly calculated and understated by $42.6 million and that the Issuers Adjustments to reconcile net income (loss) to net cash provided by operating activities and the related Eliminations were improperly calculated and overstated by $42.6 million. For the twelve month period ended December 31, 2015 as filed in the Company’s 2016 Form 8-K, it was determined that the Issuers Equity interest in income (loss) and the related Eliminations were improperly calculated and understated by $9.1 million and that the Issuers Adjustments to reconcile net income (loss) to net cash provided by operating activities and the related Eliminations were improperly calculated and overstated by $9.1 million. For the twelve month period ended December 31, 2014 as filed in the Company’s 2016 Form 8-K, it was determined that the Issuers Equity interest in income (loss) and the related Eliminations were improperly calculated and overstated by $188.6 million and that the Issuers Adjustments to reconcile net income (loss) to net cash provided by operating activities and the related Eliminations were improperly calculated and understated by $188.6 million. The errors, which the Company has determined are not material to this disclosure, had no impact on the total assets of the Parent or the Guarantor Subsidiaries and are eliminated upon consolidation, and therefore have no impact on the Company’s consolidated financial condition, results of operations or cash flows.
As a result of the errors in the preparation of the condensed consolidating financial information of the Company and its subsidiaries, it was determined that the Issuers Investment in subsidiaries and the related Eliminations at March 31, 2017 as filed in the Company’s first quarter 2017 Form 10-Q were improperly calculated and understated by $450.5 million. Additionally, it was determined that the Guarantor Subsidiaries Intercompany payable balances and the related Eliminations and the Issuers Intercompany receivable and the related Eliminations at March 31, 2017 as filed in the Company’s first quarter 2017 Form 10-Q were improperly calculated and overstated by $450.5 million and $58.1 million, respectively. It was further determined that the Issuers Equity interest in income (loss) and the related Eliminations for the three month periods ended March 31, 2017 and 2016 as filed in the Company’s first quarter 2017 Form 10-Q were improperly calculated and understated by $2.1 million and overstated by $29.8 million, respectively. Lastly, it was determined that the Issuers Adjustments to reconcile net income (loss) to net cash provided by operating activities and the related Eliminations for the three month periods ended March 31, 2017 and 2016 as filed in the
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Company’s first quarter 2017 Form 10-Q were improperly calculated and overstated by $2.1 million and understated by $29.8 million, respectively. The errors, which the Company has determined are not material to this disclosure, had no impact on the total assets of the Parent or the Guarantor Subsidiaries and are eliminated upon consolidation, and therefore have no impact on the Company’s consolidated financial condition, results of operations or cash flows.
In its previously filed Quarterly Report on Form 10-Q as of and for the six month period ended June 30, 2017, the Company included a revised Condensed Consolidating Balance Sheet as of December 31, 2016, the Condensed Consolidating Statement of Operations for the three and six month period ended June 30, 2016 and the Condensed Consolidating Statement of Cash Flows for the six months ended June 30, 2016.
This Form 8-K should be read in conjunction with the Form 8-K filed on June 8, 2017 and the Form 10-Q filed on May 5, 2017. Filed herewith as Exhibit 99.1 and incorporated by reference herein are the Condensed Consolidating Statement of Operations and Condensed Consolidating Statement of Cash Flows for the twelve months ended December 31, 2016, the Condensed Consolidating Balance Sheet as of December 31, 2015, the Condensed Consolidating Statement of Operations and Condensed Consolidating Statement of Cash Flows for the twelve months ended December 31, 2015, the Condensed Consolidating Statement of Operations and Condensed Consolidating Statement of
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Cash Flows for the twelve months ended December 31, 2014, the Condensed Consolidating Balance Sheet as of March 31, 2017, the Condensed Consolidating Statement of Operations and Condensed Consolidating Statement of Cash Flows for the three months ended March 31, 2017, and the Condensed Consolidating Statement of Operations and Condensed Consolidating Statement of Cash Flows for the three months ended March 31, 2016.
As a result of the errors in the preparation of the condensed consolidating financial information of the Company and its subsidiaries, it was determined that the Issuers Investment in subsidiaries and the related Eliminations at December 31, 2015 as filed in the Company’s 2016 Form 8-K were improperly calculated and understated by $536.9 million. Additionally, it was determined that the Guarantor Subsidiaries Intercompany payable balances and the related Eliminations and the Issuers Intercompany receivable and the related Eliminations at December 31, 2015 as filed in the Company’s 2016 Form 8-K were improperly calculated and overstated by $536.9 million and $317.4 million, respectively. Further, for the twelve month period ended December 31, 2016 as filed in the Company’s 2016 Form 8-K, it was determined that the Issuers Equity interest in income (loss) and the related Eliminations were improperly calculated and understated by $42.6 million and that the Issuers Adjustments to reconcile net income (loss) to net cash provided by operating activities and the related Eliminations were improperly calculated and overstated by $42.6 million. For the twelve month period ended December 31, 2015 as filed in the Company’s 2016 Form 8-K, it was determined that the Issuers Equity interest in income (loss) and the related Eliminations were improperly calculated and understated by $9.1 million and that the Issuers Adjustments to reconcile net income (loss) to net cash provided by operating activities and the related Eliminations were improperly calculated and overstated by $9.1 million. For the twelve month period ended December 31, 2014 as filed in the Company’s 2016 Form 8-K, it was determined that the Issuers Equity interest in income (loss) and the related Eliminations were improperly calculated and overstated by $188.6 million and that the Issuers Adjustments to reconcile net income (loss) to net cash provided by operating activities and the related Eliminations were improperly calculated and understated by $188.6 million. The errors, which the Company has determined are not material to this disclosure, had no impact on the total assets of the Parent or the Guarantor Subsidiaries and are eliminated upon consolidation, and therefore have no impact on the Company’s consolidated financial condition, results of operations or cash flows.
As a result of the errors in the preparation of the condensed consolidating financial information of the Company and its subsidiaries, it was determined that the Issuers Investment in subsidiaries and the related Eliminations at March 31, 2017 as filed in the Company’s first quarter 2017 Form 10-Q were improperly calculated and understated by $450.5 million. Additionally, it was determined that the Guarantor Subsidiaries Intercompany payable balances and the related Eliminations and the Issuers Intercompany receivable and the related Eliminations at March 31, 2017 as filed in the Company’s first quarter 2017 Form 10-Q were improperly calculated and overstated by $450.5 million and $58.1 million, respectively. It was further determined that the Issuers Equity interest in income (loss) and the related Eliminations for the three month periods ended March 31, 2017 and 2016 as filed in the Company’s first quarter 2017 Form 10-Q were improperly calculated and understated by $2.1 million and overstated by $29.8 million, respectively. Lastly, it was determined that the Issuers Adjustments to reconcile net income (loss) to net cash provided by operating activities and the related Eliminations for the three month periods ended March 31, 2017 and 2016 as filed in the
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Company’s first quarter 2017 Form 10-Q were improperly calculated and overstated by $2.1 million and understated by $29.8 million, respectively. The errors, which the Company has determined are not material to this disclosure, had no impact on the total assets of the Parent or the Guarantor Subsidiaries and are eliminated upon consolidation, and therefore have no impact on the Company’s consolidated financial condition, results of operations or cash flows.