Notes to Financial Statements. 16 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 86-A, Ltd. (A Texas Limited Partnership): We have audited the balance sheet of Parker & Parsley 86-A, Ltd. as of December 31, 1998, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 86-A, Ltd. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 86-A, Ltd. (A Texas Limited Partnership): We have audited the financial statements of Parker & Parsley 86-A, Ltd. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 86-A, Ltd. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 PARKER & PARSLEY 86-A, LTD. (A TEXAS LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- Current assets: Cash...................................................... $ 58,223 $ 118,873 Accounts receivable -- oil and gas sales.................. 47,579 79,774 ----------- ----------- Total current assets.............................. 105,802 198,647 ----------- ----------- Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 Accumulated depletion....................................... (6,577,790) (6,293,605) ----------- ----------- Net oil and gas properties........................ 540,422 801,777 ----------- ----------- $ 646,224 $ 1,000,424 =========== =========== LIABILITIES AND PARTNERS' CAPITAL Current Liabilities: Accounts payable -- affiliate............................. $ 11,837 $ 21,145 Partners' capital: Managing general partner.................................. 5,038 8,487 Limited partners (10,131 interests)....................... 629,349 970,792 ----------- ----------- 634,387 979,279 ----------- ----------- $ 646,224 $ 1,000,424 =========== =========== The accompanying notes are an integral part of these financial statements. 12 148 PARKXX & XARSXXX 00-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- ---------- ---------- Revenues: Oil and gas............................................ $ 415,842 $ 605,964 $ 843,204 Interest............................................... 4,764 8,432 15,409 Litigation settlement.................................. -- -- 290,690 Gain on disposition of assets.......................... -- -- 175,662 --------- ---------- ---------- 420,606 614,396 1,324,965 --------- ---------- ---------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 Impairment of oil and gas properties................... 23,593 496,887 -- --------- ---------- ---------- 669,121 1,082,123 583,194 --------- ---------- ---------- Net income (loss)........................................ $(248,515) $ (467,727) $ 741,771 ========= ========== ========== Allocation of net income (loss): Managing general partner............................... $ (2,485) $ (4,677) $ 7,417 ========= ========== ========== Limited partners....................................... $(246,030) $ (463,050) $ 734,354 ========= ========== ========== Net income (loss) per limited partnership interest....... $ (24.28) $ (45.71) $ 72.49 ========= ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 86-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... $18,230 $1,935,262 $1,953,492 Distributions............................................ (9,675) (957,779) (967,454) Net income............................................... 7,417 734,354 741,771 ------- ---------- ---------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 Distributions............................................ (2,808) (277,995) (280,803) Net loss................................................. (4,677) (463,050) (467,727) ------- ---------- ---------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 Distributions............................................ (964) (95,413) (96,377) Net loss................................................. (2,485) (246,030) (248,515) ------- ---------- ---------- Partners' capital at December 31, 1998..................... $ 5,038 $ 629,349 $ 634,387 ======= ========== ========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- Cash flows from operating activities: Net income (loss)....................................... $(248,515) $(467,727) $ 741,771 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Impairment of oil and gas properties................. 23,593 496,887 -- Depletion............................................ 260,592 162,452 156,510 Gain on disposition of assets........................ -- -- (175,662) Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 (15,109) Accounts payable..................................... (9,308) (56,226) 13,835 --------- --------- --------- Net cash provided by operating activities....... 58,557 177,506 721,345 --------- --------- --------- Cash flows from investing activities: Additions to oil and gas properties..................... (22,830) (9,969) (2,820) Proceeds from asset dispositions........................ -- -- 414,443 --------- --------- --------- Net cash provided by (used in) investing activities.................................... (22,830) (9,969) 411,623 --------- --------- --------- Cash flows from financing activities: Cash distributions to partners.......................... (96,377) (280,803) (967,454) --------- --------- --------- Net increase (decrease) in cash........................... (60,650) (113,266) 165,514 Cash at beginning of year................................. 118,873 232,139 66,625 --------- --------- --------- Cash at end of year....................................... $ 58,223 $ 118,873 $ 232,139 ========= ========= ========= The accompanying notes are an integral part of these financial statements. 15 151 PARKXX & XARSLEY 86-A, LTD. (A TEXAS LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00-A, Ltd. (the "Partnership") is a limited partnership organized in 1986 under the laws of the State of Texas. As of August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership. Prior to August 8, 1997, the Partnership's managing general partner was Parkxx & Xarsley Development L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Company ("Parkxx & Xarsley"). On August 7, 1997, Parkxx & Xarsxxx xxx Mesa Inc. received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership as PPDLP's successor by merger. The Partnership engages primarily in oil and gas development and production in Texas and is not involved in any industry segment other than oil and gas.
Appears in 1 contract
Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
Notes to Financial Statements. 16 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8682-AII, Ltd. (A Texas Limited Partnership): We have audited the balance sheet of Parker & Parsley 8682-AII, Ltd. as of December 31, 1998, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker Parkxx & Parsley 86Xarsxxx 00-AII, Ltd. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 INDEPENDENT AUDITORS' REPORT The Partners Parker Parkxx & Parsley 86Xarsxxx 00-AII, Ltd. (A Texas Limited Partnership): We have audited the financial statements of Parker Parkxx & Parsley 86Xarsley 82-AII, Ltd. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker Parkxx & Parsley 86Xarsxxx 00-AII, Ltd. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 PARKER PARKXX & PARSLEY 86XARSLEY 82-AII, LTD. (A TEXAS LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- Current assets: Cash...................................................... $ 58,223 64,274 $ 118,873 151,079 Accounts receivable -- oil receivable: Oil and gas sales.................. 47,579 79,774 ...................................... 36,762 60,072 Other.................................................. -- 152,402 ----------- ----------- Total current assets.............................. 105,802 198,647 101,036 363,553 ----------- ----------- Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 8,434,066 8,420,466 Accumulated depletion....................................... (6,577,7907,563,712) (6,293,6057,327,693) ----------- ----------- Net oil and gas properties........................ 540,422 801,777 870,354 1,092,773 ----------- ----------- $ 646,224 971,390 $ 1,000,424 1,456,326 =========== =========== LIABILITIES AND PARTNERS' CAPITAL Current Liabilitiesliabilities: Accounts payable -- affiliate............................. $ 11,837 9,153 $ 21,145 16,723 Partners' capital: Managing general partner.................................. 5,038 8,487 General partners.......................................... 110,889 167,998 Limited partners (10,131 6,126 interests)....................... 629,349 970,792 ........................ 851,348 1,271,605 ----------- ----------- 634,387 979,279 962,237 1,439,603 ----------- ----------- $ 646,224 971,390 $ 1,000,424 1,456,326 =========== =========== The accompanying notes are an integral part of these financial statements. 12 148 PARKXX & XARSXXX 00-AII, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- ---------- ---------- --------- -------- Revenues: Oil and gas............................................ .............................................. $ 415,842 379,887 $ 605,964 $ 843,204 598,339 $732,599 Interest............................................... 4,764 8,432 15,409 Litigation settlement.................................. -- -- 290,690 ................................................. 11,238 9,058 9,677 Gain (loss) on disposition of assets.......................... ..................... 1,281 88,515 (18,634) Litigation settlement.................................... -- -- 175,662 45,027 --------- ---------- ---------- 420,606 614,396 1,324,965 --------- ---------- ---------- -------- 392,406 695,912 768,669 --------- --------- -------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 ................................... 274,382 323,544 308,885 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 ............................... 13,493 22,634 25,834 Impairment of oil and gas properties................... 23,593 496,887 ..................... 65,229 310,732 -- Depletion................................................ 170,790 131,697 110,453 Abandoned property....................................... -- 691 579 --------- ---------- ---------- 669,121 1,082,123 583,194 --------- ---------- ---------- -------- 523,894 789,298 445,751 --------- --------- -------- Net income (loss)........................................ .......................................... $(248,515131,488) $ (467,72793,386) $ 741,771 $322,918 ========= ========== ========== Allocation of net income (loss): Managing general partner............................... General partners......................................... $ (2,485) 2,863 $ (4,677) 30,221 $ 7,417 98,377 ========= ========== ========== Limited partners....................................... ......................................... $(246,030134,351) $ $(463,050123,607) $ 734,354 $224,541 ========= ========== ========== Net income (loss) per limited partnership interest....... ......... $ (24.2821.93) $ (45.7120.18) $ 72.49 36.65 ========= ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 8682-AII, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... ...................... $18,230 214,194 $1,935,262 1,736,603 $1,953,492 1,950,797 Distributions............................................ ........................................... (9,67595,005) (957,779302,515) (967,454397,520) Net income............................................... 7,417 734,354 741,771 ------- .............................................. 98,377 224,541 322,918 -------- ---------- ---------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 .................... 217,566 1,658,629 1,876,195 Distributions............................................ ........................................... (2,80879,789) (277,995263,417) (280,803343,206) Net income (loss................................................. )....................................... 30,221 (4,677123,607) (463,05093,386) (467,727) ------- -------- ---------- ---------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 .................... 167,998 1,271,605 1,439,603 Distributions............................................ ........................................... (96459,972) (95,413285,906) (96,377345,878) Net income (loss................................................. )....................................... 2,863 (2,485134,351) (246,030131,488) (248,515) ------- -------- ---------- ---------- Partners' capital at December 31, 1998..................... .................... $110,889 $ 5,038 851,348 $ 629,349 $ 634,387 962,237 ======== ========== ========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00-AII, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- Cash flows from operating activities: Net income (loss)....................................... $(248,515) $(467,727) $ 741,771 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Impairment of oil and gas properties................. 23,593 496,887 -- Depletion............................................ 260,592 162,452 156,510 Gain on disposition of assets........................ -- -- (175,662) Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 (15,109) Accounts payable..................................... (9,308) (56,226) 13,835 --------- --------- --------- Net cash provided by operating activities....... 58,557 177,506 721,345 --------- --------- --------- Cash flows from investing activities: Additions to oil and gas properties..................... (22,830) (9,969) (2,820) Proceeds from asset dispositions........................ -- -- 414,443 --------- --------- --------- Net cash provided by (used in) investing activities.................................... (22,830) (9,969) 411,623 --------- --------- --------- Cash flows from financing activities: Cash distributions to partners.......................... (96,377) (280,803) (967,454) --------- --------- --------- Net increase (decrease) in cash........................... (60,650) (113,266) 165,514 Cash at beginning of year................................. 118,873 232,139 66,625 --------- --------- --------- Cash at end of year....................................... $ 58,223 $ 118,873 $ 232,139 ========= ========= ========= The accompanying notes are an integral part of these financial statements. 15 151 PARKXX & XARSLEY 86-A, LTD. (A TEXAS LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00-A, Ltd. (the "Partnership") is a limited partnership organized in 1986 under the laws of the State of Texas. As of August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership. Prior to August 8, 1997, the Partnership's managing general partner was Parkxx & Xarsley Development L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Company ("Parkxx & Xarsley"). On August 7, 1997, Parkxx & Xarsxxx xxx Mesa Inc. received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership as PPDLP's successor by merger. The Partnership engages primarily in oil and gas development and production in Texas and is not involved in any industry segment other than oil and gas.
Appears in 1 contract
Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
Notes to Financial Statements. 16 9 145 15 8 144 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8688-AB, Ltd. L.P. (A Texas Delaware Limited Partnership): We have audited the balance sheet of Parker & Parsley 8688-AB, Ltd. L.P. as of December 31, 1998, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8688-AB, Ltd. L.P. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8688-AB, Ltd. L.P. (A Texas Delaware Limited Partnership): We have audited the financial statements of Parker & Parsley 8688-AB, Ltd. L.P. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8688-AB, Ltd. L.P. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 10 146 PARKER & PARSLEY 8688-AB, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- Current assets: Cash...................................................... $ 58,223 110,641 $ 118,873 149,266 Accounts receivable -- oil and gas sales.................. 47,579 79,774 71,128 97,539 ----------- ----------- Total current assets.............................. 105,802 198,647 181,769 246,805 ----------- ----------- Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 7,131,466 7,116,399 Accumulated depletion....................................... (6,577,7905,978,933) (6,293,6055,311,920) ----------- ----------- Net oil and gas properties........................ 540,422 801,777 1,152,533 1,804,479 ----------- ----------- $ 646,224 1,334,302 $ 1,000,424 2,051,284 =========== =========== LIABILITIES AND PARTNERS' CAPITAL Current Liabilities: Accounts payable -- affiliate............................. $ 11,837 17,477 $ 21,145 28,599 Partners' capital: Managing general partner.................................. 5,038 8,487 13,137 20,196 Limited partners (10,131 8,954 interests)....................... 629,349 970,792 ........................ 1,303,688 2,002,489 ----------- ----------- 634,387 979,279 1,316,825 2,022,685 ----------- ----------- $ 646,224 1,334,302 $ 1,000,424 2,051,284 =========== =========== The accompanying notes are an integral part of these financial statements. 12 148 11 147 PARKXX & XARSXXX 00-AB, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- ---------- ---------- Revenues: Oil and gas............................................ $ 415,842 $ 605,964 $ 843,204 Interest............................................... 4,764 8,432 15,409 Litigation settlement.................................. -- -- 290,690 Gain on disposition of assets.......................... -- -- 175,662 --------- ---------- ---------- 420,606 614,396 1,324,965 --------- ---------- ---------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 Impairment of oil and gas properties................... 23,593 496,887 -- --------- ---------- ---------- 669,121 1,082,123 583,194 --------- ---------- ---------- Net income (loss)........................................ $(248,515) $ (467,727) $ 741,771 ========= ========== ========== Allocation of net income (loss): Managing general partner............................... $ (2,485) $ (4,677) $ 7,417 ========= ========== ========== Limited partners....................................... $(246,030) $ (463,050) $ 734,354 ========= ========== ========== Net income (loss) per limited partnership interest....... $ (24.28) $ (45.71) $ 72.49 ========= ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 86-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... $18,230 $1,935,262 $1,953,492 Distributions............................................ (9,675) (957,779) (967,454) Net income............................................... 7,417 734,354 741,771 ------- ---------- ---------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 Distributions............................................ (2,808) (277,995) (280,803) Net loss................................................. (4,677) (463,050) (467,727) ------- ---------- ---------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 Distributions............................................ (964) (95,413) (96,377) Net loss................................................. (2,485) (246,030) (248,515) ------- ---------- ---------- Partners' capital at December 31, 1998..................... $ 5,038 $ 629,349 $ 634,387 ======= ========== ========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- Cash flows from operating activities: Net income (loss)....................................... $(248,515) $(467,727) $ 741,771 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Impairment of oil and gas properties................. 23,593 496,887 -- Depletion............................................ 260,592 162,452 156,510 Gain on disposition of assets........................ -- -- (175,662) Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 (15,109) Accounts payable..................................... (9,308) (56,226) 13,835 --------- --------- --------- Net cash provided by operating activities....... 58,557 177,506 721,345 --------- --------- --------- Cash flows from investing activities: Additions to oil and gas properties..................... (22,830) (9,969) (2,820) Proceeds from asset dispositions........................ -- -- 414,443 --------- --------- --------- Net cash provided by (used in) investing activities.................................... (22,830) (9,969) 411,623 --------- --------- --------- Cash flows from financing activities: Cash distributions to partners.......................... (96,377) (280,803) (967,454) --------- --------- --------- Net increase (decrease) in cash........................... (60,650) (113,266) 165,514 Cash at beginning of year................................. 118,873 232,139 66,625 --------- --------- --------- Cash at end of year....................................... $ 58,223 $ 118,873 $ 232,139 ========= ========= ========= The accompanying notes are an integral part of these financial statements. 15 151 PARKXX & XARSLEY 86-A, LTD. (A TEXAS LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00-A, Ltd. (the "Partnership") is a limited partnership organized in 1986 under the laws of the State of Texas. As of August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership. Prior to August 8, 1997, the Partnership's managing general partner was Parkxx & Xarsley Development L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Company ("Parkxx & Xarsley"). On August 7, 1997, Parkxx & Xarsxxx xxx Mesa Inc. received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership as PPDLP's successor by merger. The Partnership engages primarily in oil and gas development and production in Texas and is not involved in any industry segment other than oil and gas.
Appears in 1 contract
Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
Notes to Financial Statements. 16 9 145 15 8 144 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8688-A, Ltd. L.P. (A Texas Delaware Limited Partnership): We have audited the balance sheet of Parker & Parsley 8688-A, Ltd. L.P. as of December 31, 1998, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8688-A, Ltd. L.P. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8688-A, Ltd. L.P. (A Texas Delaware Limited Partnership): We have audited the financial statements of Parker & Parsley 8688-A, Ltd. L.P. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8688-A, Ltd. L.P. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 10 146 PARKER & PARSLEY 8688-A, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- Current assets: Cash...................................................... $ 58,223 157,782 $ 118,873 206,923 Accounts receivable -- oil and gas sales.................. 47,579 79,774 75,374 153,707 ----------- ----------- Total current assets.............................. 105,802 198,647 233,156 360,630 ----------- ----------- Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 10,090,461 10,083,265 Accumulated depletion....................................... (6,577,7908,264,115) (6,293,6057,490,277) ----------- ----------- Net oil and gas properties........................ 540,422 801,777 ................................ 1,826,346 2,592,988 ----------- ----------- $ 646,224 2,059,502 $ 1,000,424 2,953,618 =========== =========== LIABILITIES AND PARTNERS' CAPITAL Current Liabilitiesliabilities: Accounts payable -- affiliate............................. $ 11,837 17,656 $ 21,145 32,381 Partners' capital: Managing general partner.................................. 5,038 8,487 20,660 29,454 Limited partners (10,131 12,935 interests)....................... 629,349 970,792 2,021,186 2,891,783 ----------- ----------- 634,387 979,279 2,041,846 2,921,237 ----------- ----------- $ 646,224 2,059,502 $ 1,000,424 2,953,618 =========== =========== The accompanying notes are an integral part of these financial statements. 12 148 PARKXX 11 147 PARKER & XARSXXX 00PARSLEY 88-A, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- ---------- ---------- ---------- Revenues: Oil and gas............................................ $ 415,842 $ 605,964 $ 843,204 774,533 $1,157,862 $1,411,568 Interest............................................... 4,764 8,432 15,409 Litigation settlement.................................. -- -- 290,690 10,531 12,432 13,054 Gain on disposition of assets.......................... 6,393 -- -- 175,662 --------- Other.................................................. 99 -- -- ---------- ---------- 420,606 614,396 1,324,965 --------- ---------- 791,556 1,170,294 1,424,622 ---------- ---------- ---------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 508,919 513,147 531,610 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 23,611 35,452 42,275 Impairment of oil and gas properties................... 23,593 496,887 405,308 699,976 -- --------- Depletion.............................................. 368,530 252,890 250,103 ---------- ---------- 669,121 1,082,123 583,194 --------- ---------- 1,306,368 1,501,465 823,988 ---------- ---------- ---------- Net income (loss)........................................ $$ (248,515514,812) $ (467,727331,171) $ 741,771 600,634 ========== ========== ========== Allocation of net income (loss): Managing general partner............................... $ (2,4855,148) $ (4,6773,312) $ 7,417 6,006 ========== ========== ========== Limited partners....................................... $$ (246,030509,664) $ (463,050327,859) $ 734,354 594,628 ========== ========== ========== Net income (loss) per limited partnership interest....... $ (24.2839.40) $ (45.7125.35) $ 72.49 45.97 ========== ========== ========== The accompanying notes are an integral part of these financial statements. 12 148 PARKXX & XARSXXX 00-A, L.P. (A DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... $40,845 $4,019,470 $4,060,315 Distributions............................................ (7,463) (738,855) (746,318) Net income............................................... 6,006 594,628 600,634 ------- ---------- ---------- Partners' capital at December 31, 1996..................... 39,388 3,875,243 3,914,631 Distributions............................................ (6,622) (655,601) (662,223) Net loss................................................. (3,312) (327,859) (331,171) ------- ---------- ---------- Partners' capital at December 31, 1997..................... 29,454 2,891,783 2,921,237 Distributions............................................ (3,646) (360,933) (364,579) Net loss................................................. (5,148) (509,664) (514,812) ------- ---------- ---------- Partners' capital at December 31, 1998..................... $20,660 $2,021,186 $2,041,846 ======= ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 8688-A, LTD. L.P. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... $18,230 $1,935,262 $1,953,492 Distributions............................................ (9,675) (957,779) (967,454) Net income............................................... 7,417 734,354 741,771 ------- ---------- ---------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 Distributions............................................ (2,808) (277,995) (280,803) Net loss................................................. (4,677) (463,050) (467,727) ------- ---------- ---------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 Distributions............................................ (964) (95,413) (96,377) Net loss................................................. (2,485) (246,030) (248,515) ------- ---------- ---------- Partners' capital at December 31, 1998..................... $ 5,038 $ 629,349 $ 634,387 ======= ========== ========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00-A, LTD. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- Cash flows from operating activities: Net income (loss)....................................... $(248,515514,812) $(467,727331,171) $ 741,771 600,634 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Impairment of oil and gas properties................. 23,593 496,887 405,308 699,976 -- Depletion............................................ 260,592 162,452 156,510 368,530 252,890 250,103 Gain on disposition of assets........................ (6,393) -- -- (175,662) Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 78,333 74,637 (15,10991,920) Accounts payable..................................... (9,30814,725) 6,796 (56,22635,822) 13,835 --------- --------- --------- Net cash provided by operating activities....... 58,557 177,506 721,345 316,241 703,128 722,995 --------- --------- --------- Cash flows from investing activities: Additions to oil and gas properties..................... (22,83017,362) (9,96913,184) (2,82010,521) Proceeds from asset dispositions........................ 16,559 -- -- 414,443 --------- --------- --------- Net cash provided by (used in) in investing activities.................................... ........... (22,830803) (9,96913,184) 411,623 (10,521) --------- --------- --------- Cash flows from financing activities: Cash distributions to partners.......................... (96,377364,579) (280,803662,223) (967,454746,318) --------- --------- --------- Net increase (decrease) in cash........................... (60,65049,141) 27,721 (113,26633,844) 165,514 Cash at beginning of year................................. 118,873 232,139 66,625 206,923 179,202 213,046 --------- --------- --------- Cash at end of year....................................... $ 58,223 157,782 $ 118,873 206,923 $ 232,139 179,202 ========= ========= ========= The accompanying notes are an integral part of these financial statements. 15 151 14 150 PARKXX & XARSLEY 86XARSXXX 00-A, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00Xarsley 88-A, Ltd. L.P. (the "Partnership") is a limited partnership organized in 1986 1988 under the laws of the State of TexasDelaware. As of August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership. Prior to August 8, 1997, the Partnership's managing general partner was Parkxx & Xarsley Development Xarsxxx Xxxelopment L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Xarsley Petroleum Company ("Parkxx & XarsleyXarsxxx"). On August 7, 1997, Parkxx & Xarsxxx xxx Xarsley and Mesa Inc. ("Mesa") received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership as PPDLP's successor by merger. The Partnership engages primarily in oil and gas development and production in Texas and is not involved in any industry segment other than oil and gas.
Appears in 1 contract
Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
Notes to Financial Statements. 16 9 145 15 8 144 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8685-A, Ltd. (A Texas Limited Partnership): We have audited the balance sheet of Parker & Parsley 8685-A, Ltd. as of December 31, 1998, and the related statements of operationsincome, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8685-A, Ltd. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8685-A, Ltd. (A Texas Limited Partnership): We have audited the financial statements of Parker & Parsley 8685-A, Ltd. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8685-A, Ltd. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 10 146 PARKER & PARSLEY 8685-A, LTD. (A TEXAS LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- Current assets: Cash...................................................... $ 58,223 41,498 $ 118,873 70,438 Accounts receivable -- oil and gas sales.................. 47,579 79,774 42,116 66,815 ----------- ----------- Total current assets.............................. 105,802 198,647 83,614 137,253 ----------- ----------- Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 7,388,678 7,376,390 Accumulated depletion....................................... (6,577,7906,788,159) (6,293,6056,454,149) ----------- ----------- Net oil and gas properties........................ 540,422 801,777 600,519 922,241 ----------- ----------- $ 646,224 684,133 $ 1,000,424 1,059,494 =========== =========== LIABILITIES AND PARTNERS' CAPITAL Current Liabilitiesliabilities: Accounts payable -- affiliate............................. $ 11,837 10,323 $ 21,145 17,547 Partners' capital: Managing general partner.................................. 5,038 8,487 6,750 10,430 Limited partners (10,131 9,613 interests)....................... 629,349 970,792 ........................ 667,060 1,031,517 ----------- ----------- 634,387 979,279 673,810 1,041,947 ----------- ----------- $ 646,224 684,133 $ 1,000,424 1,059,494 =========== =========== The accompanying notes are an integral part of these financial statements. 12 148 11 147 PARKXX & XARSXXX 00-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- ---------- ---------- --------- -------- Revenues: Oil and gas............................................ .............................................. $ 415,842 371,098 $ 605,964 $ 843,204 548,786 $631,838 Interest............................................... 4,764 8,432 15,409 ................................................. 3,609 4,907 3,957 Litigation settlement.................................. , net............................... -- -- 290,690 Gain on disposition of assets.......................... -- -- 175,662 32,694 --------- ---------- ---------- 420,606 614,396 1,324,965 --------- ---------- ---------- -------- 374,707 553,693 668,489 --------- --------- -------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 ................................... 304,333 304,651 320,643 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 ............................... 11,133 17,403 18,955 Impairment of oil and gas properties................... 23,593 496,887 ..................... 22,031 270,187 -- Depletion................................................ 311,979 120,256 105,185 Loss on disposition of assets............................ -- -- 1,852 --------- ---------- ---------- 669,121 1,082,123 583,194 --------- ---------- ---------- -------- 649,476 712,497 446,635 --------- --------- -------- Net income (loss)........................................ .......................................... $(248,515274,769) $ $(467,727158,804) $ 741,771 $221,854 ========= ========== ========== Allocation of net income (loss): Managing general partner............................... ................................. $ (2,4852,747) $ (4,6771,588) $ 7,417 2,219 ========= ========== ========== Limited partners....................................... ......................................... $(246,030272,022) $ $(463,050157,216) $ 734,354 $219,635 ========= ========== ========== Net income (loss) per limited partnership interest....... ......... $ (24.2828.30) $ (45.7116.35) $ 72.49 22.85 ========= ========= ======== The accompanying notes are an integral part of these financial statements. 12 148 PARKXX & XARSLEY 85-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... $14,831 $1,467,142 $1,481,973 Distributions............................................ (2,578) (255,194) (257,772) Net income............................................... 2,219 219,635 221,854 ------- ---------- ---------- Partners' capital at December 31, 1996..................... 14,472 1,431,583 1,446,055 Distributions............................................ (2,454) (242,850) (245,304) Net loss................................................. (1,588) (157,216) (158,804) ------- ---------- ---------- Partners' capital at December 31, 1997..................... 10,430 1,031,517 1,041,947 Distributions............................................ (933) (92,435) (93,368) Net loss................................................. (2,747) (272,022) (274,769) ------- ---------- ---------- Partners' capital at December 31, 1998..................... $ 6,750 $ 667,060 $ 673,810 ======= ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 86-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... $18,230 $1,935,262 $1,953,492 Distributions............................................ (9,675) (957,779) (967,454) Net income............................................... 7,417 734,354 741,771 ------- ---------- ---------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 Distributions............................................ (2,808) (277,995) (280,803) Net loss................................................. (4,677) (463,050) (467,727) ------- ---------- ---------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 Distributions............................................ (964) (95,413) (96,377) Net loss................................................. (2,485) (246,030) (248,515) ------- ---------- ---------- Partners' capital at December 31, 1998..................... $ 5,038 $ 629,349 $ 634,387 ======= ========== ========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- -------- Cash flows from operating activities: Net income (loss)....................................... ........................................ $(248,515274,769) $(467,727158,804) $ 741,771 $221,854 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Loss on disposition of assets......................... -- -- 1,852 Impairment of oil and gas properties................. 23,593 496,887 .................. 22,031 270,187 -- Depletion............................................ 260,592 162,452 156,510 Gain on disposition of assets........................ -- -- (175,662) ............................................. 311,979 120,256 105,185 Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 ................................... 24,699 33,332 (15,10933,195) Accounts payable..................................... ...................................... (9,3087,224) 3,194 (56,22626,418) 13,835 --------- --------- --------- -------- Net cash provided by operating activities....... 58,557 177,506 721,345 ........ 76,716 268,165 269,278 --------- --------- --------- -------- Cash flows from investing activities: Additions to oil and gas properties..................... ...................... (22,83012,611) (9,9692,702) (2,820) -- Proceeds from asset dispositions........................ ......................... 323 -- -- 414,443 1,818 --------- --------- --------- -------- Net cash provided by (used in) investing activities.................................... ..................................... (22,83012,288) (9,9692,702) 411,623 1,818 --------- --------- --------- -------- Cash flows from financing activities: Cash distributions to partners.......................... ........................... (96,37793,368) (280,803245,304) (967,454257,772) --------- --------- --------- -------- Net increase (decrease) in cash........................... ............................ (60,65028,940) (113,266) 165,514 20,159 13,324 Cash at beginning of year................................. 118,873 232,139 66,625 .................................. 70,438 50,279 36,955 --------- --------- --------- -------- Cash at end of year....................................... ........................................ $ 58,223 41,498 $ 118,873 70,438 $ 232,139 50,279 ========= ========= ========= The accompanying notes are an integral part of these financial statements. 15 151 14 150 PARKXX & XARSLEY 8685-A, LTD. (A TEXAS LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00-A, Ltd. (the "Partnership") is a limited partnership organized in 1986 1985 under the laws of the State of Texas. As of August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership. Prior to August 8, 1997, the Partnership's managing general partner was Parkxx & Xarsley Development L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Company ("Parkxx & Xarsley"). On August 7, 1997, Parkxx & Xarsxxx xxx Mesa Inc. received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership as PPDLP's successor by merger. The Partnership engages primarily in oil and gas development and production in Texas and is not involved in any industry segment other than oil and gas.
Appears in 1 contract
Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
Notes to Financial Statements. 16 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8687-AB, Ltd. (A Texas Limited Partnership): We have audited the balance sheet of Parker & Parsley 8687-AB, Ltd. as of December 31, 1998, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8687-AB, Ltd. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8687-AB, Ltd. (A Texas Limited Partnership): We have audited the financial statements of Parker & Parsley 8687-AB, Ltd. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker Parkxx & Parsley 86Xarsxxx 00-AB, Ltd. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 PARKER PARKXX & PARSLEY 86XARSLEY 87-AB, LTD. (A TEXAS LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- ------------ ------------ Current assets: Cash...................................................... $ 58,223 221,422 $ 118,873 268,802 Accounts receivable -- oil and gas sales.................. 47,579 79,774 ----------- ----------- 116,033 180,715 ------------ ------------ Total current assets.............................. 105,802 198,647 ----------- ----------- 337,455 449,517 ------------ ------------ Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 13,370,742 13,347,744 Accumulated depletion....................................... (6,577,79010,723,851) (6,293,60510,031,260) ----------- ----------- ------------ ------------ Net oil and gas properties........................ 540,422 801,777 ----------- ----------- 2,646,891 3,316,484 ------------ ------------ $ 646,224 2,984,346 $ 1,000,424 3,766,001 ============ ============ LIABILITIES AND PARTNERS' CAPITAL Current Liabilitiesliabilities: Accounts payable -- affiliate............................. $ 11,837 21,253 $ 21,145 40,103 Partners' capital: Managing general partner.................................. 5,038 8,487 29,559 37,187 Limited partners (10,131 20,089 interests)....................... 629,349 970,792 ----------- ----------- 634,387 979,279 ----------- ----------- 2,933,534 3,688,711 ------------ ------------ 2,963,093 3,725,898 ------------ ------------ $ 646,224 2,984,346 $ 1,000,424 3,766,001 ============ ============ The accompanying notes are an integral part of these financial statements. 12 148 PARKXX & XARSXXX 00-AB, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- ---------- ---------- ---------- Revenues: Oil and gas............................................ $ 415,842 $ 605,964 $ 843,204 965,599 $1,412,905 $1,725,580 Interest............................................... 4,764 8,432 15,409 14,851 15,470 20,199 Gain (loss) on disposition of assets................... 13,965 4,459 (38,332) Litigation settlement.................................. -- -- 290,690 Gain on disposition of assets.......................... -- -- 175,662 --------- 590,715 ---------- ---------- 420,606 614,396 1,324,965 --------- ---------- 994,415 1,432,834 2,298,162 ---------- ---------- ---------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 600,702 640,526 688,228 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 28,968 44,463 54,124 Impairment of oil and gas properties................... 23,593 496,887 199,037 768,208 -- --------- Depletion.............................................. 493,554 318,966 350,436 Abandoned property..................................... 3,943 8,021 6,221 ---------- ---------- 669,121 1,082,123 583,194 --------- ---------- 1,326,204 1,780,184 1,099,009 ---------- ---------- ---------- Net income (loss)........................................ $$ (248,515331,789) $ (467,727347,350) $ 741,771 $1,199,153 ========== ========== ========== Allocation of net income (loss): Managing general partner............................... $ (2,4853,318) $ (4,6773,473) $ 7,417 11,992 ========== ========== ========== Limited partners....................................... $$ (246,030328,471) $ (463,050343,877) $ 734,354 $1,187,161 ========== ========== ========== Net income (loss) per limited partnership interest....... $ (24.2816.35) $ (45.7117.12) $ 72.49 59.10 ========== ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 8687-AB, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- ----------- ----------- Partners' capital at January 1, 1996....................... $18,230 $1,935,262 $1,953,492 .................... $ 53,646 $ 5,317,608 $ 5,371,254 Distributions............................................ ......................................... (9,67517,701) (957,7791,752,452) (967,4541,770,153) Net income............................................... 7,417 734,354 741,771 ------- ---------- ---------- ............................................ 11,992 1,187,161 1,199,153 -------- ----------- ----------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 .................. 47,937 4,752,317 4,800,254 Distributions............................................ ......................................... (2,8087,277) (277,995719,729) (280,803727,006) Net loss................................................. .............................................. (4,6773,473) (463,050343,877) (467,727347,350) ------- ---------- ---------- -------- ----------- ----------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 .................. 37,187 3,688,711 3,725,898 Distributions............................................ ......................................... (9644,310) (95,413426,706) (96,377431,016) Net loss................................................. .............................................. (2,4853,318) (246,030328,471) (248,515331,789) ------- ---------- ---------- -------- ----------- ----------- Partners' capital at December 31, 1998..................... .................. $ 5,038 29,559 $ 629,349 2,933,534 $ 634,387 2,963,093 ======== =========== =========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00-AB, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- Cash flows from operating activities: Net income (loss)....................................... $(248,515) $(467,727) $ 741,771 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Impairment of oil and gas properties................. 23,593 496,887 -- Depletion............................................ 260,592 162,452 156,510 Gain on disposition of assets........................ -- -- (175,662) Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 (15,109) Accounts payable..................................... (9,308) (56,226) 13,835 --------- --------- --------- Net cash provided by operating activities....... 58,557 177,506 721,345 --------- --------- --------- Cash flows from investing activities: Additions to oil and gas properties..................... (22,830) (9,969) (2,820) Proceeds from asset dispositions........................ -- -- 414,443 --------- --------- --------- Net cash provided by (used in) investing activities.................................... (22,830) (9,969) 411,623 --------- --------- --------- Cash flows from financing activities: Cash distributions to partners.......................... (96,377) (280,803) (967,454) --------- --------- --------- Net increase (decrease) in cash........................... (60,650) (113,266) 165,514 Cash at beginning of year................................. 118,873 232,139 66,625 --------- --------- --------- Cash at end of year....................................... $ 58,223 $ 118,873 $ 232,139 ========= ========= ========= The accompanying notes are an integral part of these financial statements. 15 151 PARKXX & XARSLEY 86-A, LTD. (A TEXAS LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00-A, Ltd. (the "Partnership") is a limited partnership organized in 1986 under the laws of the State of Texas. As of August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership. Prior to August 8, 1997, the Partnership's managing general partner was Parkxx & Xarsley Development L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Company ("Parkxx & Xarsley"). On August 7, 1997, Parkxx & Xarsxxx xxx Mesa Inc. received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership as PPDLP's successor by merger. The Partnership engages primarily in oil and gas development and production in Texas and is not involved in any industry segment other than oil and gas.
Appears in 1 contract
Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
Notes to Financial Statements. 16 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8682-AI, Ltd. (A Texas Limited Partnership): We have audited the balance sheet of Parker & Parsley 8682-AI, Ltd. as of December 31, 1998, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8682-AI, Ltd. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8682-AI, Ltd. (A Texas Limited Partnership): We have audited the financial statements of Parker & Parsley 8682-AI, Ltd. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8682-AI, Ltd. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 PARKER PARKXX & PARSLEY 86XARSXXX 00-AI, LTD. (A TEXAS LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- Current assets: Cash...................................................... $ 58,223 44,427 $ 118,873 83,286 Accounts receivable -- oil receivable: Oil and gas sales.................. 47,579 79,774 ...................................... 36,699 63,698 Other.................................................. -- 14,198 ----------- ----------- Total current assets.............................. 105,802 198,647 81,126 161,182 ----------- ----------- Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 9,885,470 9,878,650 Accumulated depletion....................................... (6,577,7909,492,068) (6,293,6058,881,697) ----------- ----------- Net oil and gas properties........................ 540,422 801,777 393,402 996,953 ----------- ----------- $ 646,224 474,528 $ 1,000,424 1,158,135 =========== =========== LIABILITIES AND PARTNERS' CAPITAL Current Liabilitiesliabilities: Accounts payable -- affiliate............................. $ 11,837 12,288 $ 21,145 15,475 Partners' capital: Managing general partner.................................. 5,038 8,487 General partners.......................................... 150,932 221,119 Limited partners (10,131 4,891 interests)....................... 629,349 970,792 ........................ 311,308 921,541 ----------- ----------- 634,387 979,279 462,240 1,142,660 ----------- ----------- $ 646,224 474,528 $ 1,000,424 1,158,135 =========== =========== The accompanying notes are an integral part of these financial statements. 12 148 PARKXX & XARSXXX 00XARSLEY 82-AI, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- ---------- ---------- -------- -------- Revenues: Oil and gas............................................ ............................................... $ 415,842 $ 605,964 $ 843,204 392,883 $608,207 $710,173 Interest............................................... 4,764 8,432 15,409 Litigation settlement.................................. -- -- 290,690 .................................................. 4,244 6,028 5,453 Gain on disposition of assets.......................... ............................. 199 3,621 -- Litigation settlement..................................... -- -- 175,662 43,618 --------- ---------- ---------- 420,606 614,396 1,324,965 -------- -------- 397,326 617,856 759,244 --------- ---------- ---------- -------- -------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 .................................... 336,406 339,942 316,410 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 ................................ 14,542 22,386 23,688 Impairment of oil and gas properties................... 23,593 496,887 -- ...................... 294,610 165,201 2,277 Depletion................................................. 315,761 151,174 104,287 --------- ---------- ---------- 669,121 1,082,123 583,194 -------- -------- 961,319 678,703 446,662 --------- ---------- ---------- -------- -------- Net income (loss)........................................ ........................................... $(248,515563,993) $ $(467,72760,847) $ 741,771 $312,582 ========= ========== ========== Allocation of net income (loss): Managing general partner............................... General partners.......................................... $ (2,48549,472) $ (4,677) 31,736 $ 7,417 92,811 ========= ========== ========== Limited partners....................................... .......................................... $(246,030514,521) $ $(463,05092,583) $ 734,354 $219,771 ========= ========== ========== Net income (loss) per limited partnership interest....... .......... $ (24.28105.20) $ (45.7118.93) $ 72.49 44.93 ========= ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 86XARSXXX 00-AI, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... ...................... $18,230 258,529 $1,935,262 1,277,125 $1,953,492 1,535,654 Distributions............................................ ........................................... (9,67586,826) (957,779251,394) (967,454338,220) Net income............................................... 7,417 734,354 741,771 ------- .............................................. 92,811 219,771 312,582 -------- ---------- ---------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 .................... 264,514 1,245,502 1,510,016 Distributions............................................ ........................................... (2,80875,131) (277,995231,378) (280,803306,509) Net income (loss................................................. )....................................... 31,736 (4,67792,583) (463,05060,847) (467,727) ------- -------- ---------- ---------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 .................... 221,119 921,541 1,142,660 Distributions............................................ ........................................... (96420,715) (95,41395,712) (96,377116,427) Net loss................................................. ................................................ (2,48549,472) (246,030514,521) (248,515563,993) ------- -------- ---------- ---------- Partners' capital at December 31, 1998..................... .................... $150,932 $ 5,038 311,308 $ 629,349 $ 634,387 462,240 ======== ========== ========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00XARSLEY 82-AI, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- Cash flows from operating activities: Net income (loss)....................................... $(248,515) $(467,727563,993) $ 741,771 (60,847) $ 312,582 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Impairment of oil and gas properties................. 23,593 496,887 -- 294,610 165,201 2,277 Depletion............................................ 260,592 162,452 156,510 315,761 151,174 104,287 Gain on disposition of assets........................ (199) (3,621) -- -- (175,662) Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 26,999 28,652 (15,10943,962) Accounts payable..................................... (9,3083,187) (56,2261,274) 13,835 (34,164) --------- --------- --------- Net cash provided by operating activities....... 58,557 177,506 721,345 69,991 279,285 341,020 --------- --------- --------- Cash flows from investing activities: Additions to oil and gas properties..................... (22,8306,820) (9,9692,089) (2,820) -- Proceeds from asset dispositions........................ -- -- 414,443 14,397 18,068 7,841 --------- --------- --------- Net cash provided by (used in) investing activities.................................... (22,830) (9,969) 411,623 ....... 7,577 15,979 7,841 --------- --------- --------- Cash flows from financing activities: Cash distributions to partners.......................... (96,377116,427) (280,803306,509) (967,454338,220) --------- --------- --------- Net increase (decrease) in cash........................... (60,65038,859) (113,26611,245) 165,514 10,641 Cash at beginning of year................................. 118,873 232,139 66,625 83,286 94,531 83,890 --------- --------- --------- Cash at end of year....................................... $ 58,223 44,427 $ 118,873 83,286 $ 232,139 94,531 ========= ========= ========= The accompanying notes are an integral part of these financial statements. 15 151 PARKXX & XARSLEY 86XARSXXX 00-AI, LTD. (A TEXAS LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00Xarsley 82-AI, Ltd. (the "Partnership") is a limited partnership organized in 1986 1982 under the laws of the State of Texas. As of On August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership, joining the existing general partner, P&P Employees 82-I, Ltd. ("EMPL"), a Texas limited partnership whose general partner is Pioneer USA, and 4,891 limited partnership interests as of March 8, 1999. Prior to August 8, 1997, the Partnership's managing general partner and the general partner of EMPL was Parkxx & Xarsley Development Xarsxxx Xxxelopment L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Xarsley Petroleum Company ("Parkxx & XarsleyXarsxxx"). On August 7, 1997, Parkxx & Xarsxxx xxx Xarsley and Mesa Inc. received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership and the general partner of EMPL as PPDLP's successor by merger. The Partnership engages primarily in oil and gas exploration, development and production in Texas and New Mexico and is not involved in any industry segment other than oil and gas.
Appears in 1 contract
Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
Notes to Financial Statements. 16 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 86-AC, Ltd. (A Texas Limited Partnership): We have audited the balance sheet of Parker & Parsley 86-AC, Ltd. as of December 31, 1998, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 86-AC, Ltd. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 86-AC, Ltd. (A Texas Limited Partnership): We have audited the financial statements of Parker & Parsley 86-AC, Ltd. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker Parkxx & Parsley 86Xarsxxx 00-AC, Ltd. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 PARKER PARKXX & PARSLEY XARSLEY 86-AC, LTD. (A TEXAS LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- ------------ ------------ Current assets: Cash...................................................... $ 58,223 126,623 $ 118,873 163,568 Accounts receivable -- oil and gas sales.................. 47,579 79,774 ----------- ----------- 112,233 203,783 ------------ ------------ Total current assets.............................. 105,802 198,647 ----------- ----------- 238,856 367,351 ------------ ------------ Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 14,568,090 14,548,946 Accumulated depletion....................................... (6,577,79012,735,835) (6,293,60512,095,660) ----------- ----------- ------------ ------------ Net oil and gas properties........................ 540,422 801,777 ----------- ----------- 1,832,255 2,453,286 ------------ ------------ $ 646,224 2,071,111 $ 1,000,424 2,820,637 ============ ============ LIABILITIES AND PARTNERS' CAPITAL Current Liabilitiesliabilities: Accounts payable -- affiliate............................. $ 11,837 18,095 $ 21,145 47,106 Partners' capital: Managing general partner.................................. 5,038 8,487 19,222 26,428 Limited partners (10,131 19,317 interests)....................... 629,349 970,792 ----------- ----------- 634,387 979,279 ----------- ----------- 2,033,794 2,747,103 ------------ ------------ 2,053,016 2,773,531 ------------ ------------ $ 646,224 2,071,111 $ 1,000,424 2,820,637 ============ ============ The accompanying notes are an integral part of these financial statements. 12 148 PARKXX & XARSXXX 00-AC, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- ---------- ---------- ---------- Revenues: Oil and gas............................................ $ 415,842 $ 605,964 $ 843,204 973,632 $1,484,170 $1,750,717 Interest............................................... 4,764 8,432 15,409 Litigation settlement.................................. -- -- 290,690 9,397 12,346 9,265 Gain on disposition of assets.......................... -- 20,511 58,479 Litigation settlement.................................. -- 175,662 --------- -- 704,864 ---------- ---------- 420,606 614,396 1,324,965 --------- ---------- 983,029 1,517,027 2,523,325 ---------- ---------- ---------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 737,587 767,140 815,378 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 29,209 46,992 52,521 Impairment of oil and gas properties................... 23,593 496,887 277,277 895,701 132,778 Depletion.............................................. 362,898 371,531 352,216 Abandoned property..................................... -- --------- 12,734 27,923 ---------- ---------- 669,121 1,082,123 583,194 --------- ---------- 1,406,971 2,094,098 1,380,816 ---------- ---------- ---------- Net income (loss)........................................ $$ (248,515423,942) $ (467,727577,071) $ 741,771 $1,142,509 ========== ========== ========== Allocation of net income (loss): Managing general partner............................... $ (2,4854,240) $ (4,6775,770) $ 7,417 11,425 ========== ========== ========== Limited partners....................................... $$ (246,030419,702) $ (463,050571,301) $ 734,354 $1,131,084 ========== ========== ========== Net income (loss) per limited partnership interest....... $ (24.2821.73) $ (45.7129.58) $ 72.49 58.55 ========== ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 86-AC, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- ----------- ----------- Partners' capital at January 1, 1996....................... $18,230 $1,935,262 $1,953,492 .................... $ 41,697 $ 4,258,769 $ 4,300,466 Distributions............................................ ......................................... (9,67513,541) (957,7791,340,522) (967,4541,354,063) Net income............................................... 7,417 734,354 741,771 ------- ---------- ---------- ............................................ 11,425 1,131,084 1,142,509 -------- ----------- ----------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 .................. 39,581 4,049,331 4,088,912 Distributions............................................ ......................................... (2,8087,383) (277,995730,927) (280,803738,310) Net loss................................................. .............................................. (4,6775,770) (463,050571,301) (467,727577,071) ------- ---------- ---------- -------- ----------- ----------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 .................. 26,428 2,747,103 2,773,531 Distributions............................................ ......................................... (9642,966) (95,413293,607) (96,377296,573) Net loss................................................. .............................................. (2,4854,240) (246,030419,702) (248,515423,942) ------- ---------- ---------- -------- ----------- ----------- Partners' capital at December 31, 1998..................... .................. $ 5,038 19,222 $ 629,349 2,033,794 $ 634,387 2,053,016 ======== =========== =========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00-AC, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- ----------- Cash flows from operating activities: Net income (loss)....................................... ...................................... $(248,515423,942) $(467,727577,071) $ 741,771 1,142,509 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Impairment of oil and gas properties................. 23,593 496,887 -- ................ 277,277 895,701 132,778 Depletion............................................ 260,592 162,452 156,510 ........................................... 362,898 371,531 352,216 Gain on disposition of assets........................ -- ....................... -- (175,66220,511) (58,479) Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 ................................. 91,550 61,472 (15,109114,204) Accounts payable..................................... .................................... (9,30829,011) (56,22656,014) 13,835 (10,548) --------- --------- --------- ----------- Net cash provided by operating activities....... 58,557 177,506 721,345 ...... 278,772 675,108 1,444,272 --------- --------- --------- ----------- Cash flows from investing activities: Additions to oil and gas properties..................... .................... (22,83019,770) -- (9,969) (2,82019,161) Proceeds from asset dispositions........................ -- -- 414,443 ....................... 626 21,563 60,363 --------- --------- --------- ----------- Net cash provided by (used in) investing activities.................................... ................................... (22,83019,144) (9,969) 411,623 21,563 41,202 --------- --------- --------- ----------- Cash flows from financing activities: Cash distributions to partners.......................... ......................... (96,377296,573) (280,803738,310) (967,4541,354,063) --------- --------- --------- ----------- Net increase (decrease) in cash........................... .......................... (60,65036,945) (113,26641,639) 165,514 131,411 Cash at beginning of year................................. 118,873 232,139 66,625 ................................ 163,568 205,207 73,796 --------- --------- --------- ----------- Cash at end of year....................................... ...................................... $ 58,223 126,623 $ 118,873 163,568 $ 232,139 205,207 ========= ========= =========== The accompanying notes are an integral part of these financial statements. 15 151 PARKXX & XARSLEY 86-AC, LTD. (A TEXAS LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00-AC, Ltd. (the "Partnership") is a limited partnership organized in 1986 under the laws of the State of Texas. As of August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership. Prior to August 8, 1997, the Partnership's managing general partner was Parkxx & Xarsley Development L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Company ("Parkxx & Xarsley"). On August 7, 1997, Parkxx & Xarsxxx xxx Mesa Inc. received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership as PPDLP's successor by merger. The Partnership engages primarily in oil and gas development and production in Texas and is not involved in any industry segment other than oil and gas.
Appears in 1 contract
Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
Notes to Financial Statements. 16 9 145 15 8 144 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 86Producing Properties 88-A, Ltd. L.P. (A Texas Delaware Limited Partnership): We have audited the balance sheet of Parker & Parsley 86Producing Properties 88-A, Ltd. L.P. as of December 31, 1998, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 86Producing Properties 88-A, Ltd. L.P. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 86Producing Properties 88-A, Ltd. L.P. (A Texas Delaware Limited Partnership): We have audited the financial statements of Parker & Parsley 86Producing Properties 88-A, Ltd. L.P. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 86Producing Properties 88-A, Ltd. L.P. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 10 146 PARKER & PARSLEY 86PRODUCING PROPERTIES 88-A, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- Current assets: Cash...................................................... $ 58,223 278,229 $ 118,873 332,031 Accounts receivable -- oil and gas sales.................. 47,579 79,774 49,455 118,614 ----------- ----------- Total current assets.............................. 105,802 198,647 327,684 450,645 ----------- ----------- Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 ...................... 4,842,700 4,841,519 Accumulated depletion....................................... (6,577,7903,285,467) (6,293,6053,079,227) ----------- ----------- Net oil and gas properties........................ 540,422 801,777 1,557,233 1,762,292 ----------- ----------- $ 646,224 1,884,917 $ 1,000,424 2,212,937 =========== =========== LIABILITIES AND PARTNERS' CAPITAL Current Liabilitiesliabilities: Accounts payable -- affiliate............................. $ 11,837 6,661 $ 21,145 37,835 Partners' capital: Managing general partner.................................. 5,038 8,487 18,638 21,564 Limited partners (10,131 11,222 interests)....................... 629,349 970,792 1,859,618 2,153,538 ----------- ----------- 634,387 979,279 1,878,256 2,175,102 ----------- ----------- $ 646,224 1,884,917 $ 1,000,424 2,212,937 =========== =========== The accompanying notes are an integral part of these financial statements. 12 148 PARKXX 11 147 PARKER & XARSXXX 00PARSLEY PRODUCING PROPERTIES 88-A, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- ---------- ---------- -------- -------- -------- Revenues: Oil and gas............................................ $ 415,842 $ 605,964 $ 843,204 ............................................... $443,496 $753,775 $938,418 Interest............................................... 4,764 8,432 15,409 Litigation settlement.................................. -- -- 290,690 Gain on disposition of assets.......................... -- -- 175,662 --------- ---------- ---------- 420,606 614,396 1,324,965 --------- ---------- ---------- .................................................. 14,767 20,009 20,172 -------- -------- -------- 458,263 773,784 958,590 -------- -------- -------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 .................................... 252,339 346,849 348,125 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 ................................ 13,305 23,377 28,916 Impairment of oil and gas properties................... 23,593 496,887 ...................... -- --------- ---------- ---------- 669,121 1,082,123 583,194 --------- ---------- ---------- 6,231 -- Depletion................................................. 206,240 141,915 156,980 -------- -------- -------- 471,884 518,372 534,021 -------- -------- -------- Net income (loss)........................................ ........................................... $(248,51513,621) $ (467,727) $ 741,771 =$255,412 $424,569 ======== ========== ========== Allocation of net income (loss): Managing general partner............................... .................................. $ (2,485136) $ (4,677) 2,554 $ 7,417 =4,246 ======== ========== ========== Limited partners....................................... .......................................... $(246,03013,485) $ (463,050) $ 734,354 =$252,858 $420,323 ======== ========== ========== Net income (loss) per limited partnership interest....... .......... $ (24.281.20) $ (45.71) 22.53 $ 72.49 37.46 ======== ======== ======== The accompanying notes are an integral part of these financial statements. 12 148 PARKXX & XARSXXX XXXDUCING PROPERTIES 88-A, L.P. (A DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... $25,435 $2,553,220 $2,578,655 Distributions............................................ (5,401) (505,968) (511,369) Net income............................................... 4,246 420,323 424,569 ------- ---------- ---------- Partners' capital at December 31, 1996..................... 24,280 2,467,575 2,491,855 Distributions............................................ (5,270) (566,895) (572,165) Net income............................................... 2,554 252,858 255,412 ------- ---------- ---------- Partners' capital at December 31, 1997..................... 21,564 2,153,538 2,175,102 Distributions............................................ (2,790) (280,435) (283,225) Net loss................................................. (136) (13,485) (13,621) ------- ---------- ---------- Partners' capital at December 31, 1998..................... $18,638 $1,859,618 $1,878,256 ======= ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 86PRODUCING PROPERTIES 88-A, LTD. L.P. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... $18,230 $1,935,262 $1,953,492 Distributions............................................ (9,675) (957,779) (967,454) Net income............................................... 7,417 734,354 741,771 ------- ---------- ---------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 Distributions............................................ (2,808) (277,995) (280,803) Net loss................................................. (4,677) (463,050) (467,727) ------- ---------- ---------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 Distributions............................................ (964) (95,413) (96,377) Net loss................................................. (2,485) (246,030) (248,515) ------- ---------- ---------- Partners' capital at December 31, 1998..................... $ 5,038 $ 629,349 $ 634,387 ======= ========== ========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00-A, LTD. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- Cash flows from operating activities: Net income (loss)....................................... $$ (248,515) $(467,72713,621) $ 741,771 255,412 $ 424,569 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Impairment of oil and gas properties................. 23,593 496,887 -- 6,231 -- Depletion............................................ 260,592 162,452 156,510 Gain on disposition of assets........................ -- -- (175,662) 206,240 141,915 156,980 Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 69,159 51,098 (15,10935,092) Accounts payable..................................... (9,30831,174) 18,216 (56,22640,896) 13,835 --------- --------- --------- Net cash provided by operating activities....... 58,557 177,506 721,345 230,604 472,872 505,561 --------- --------- --------- Cash flows from investing activities: Additions to oil and gas properties..................... equipment...................... (22,8301,181) -- (9,969) (2,8207,758) Proceeds from asset dispositions........................ -- 824 -- 414,443 --------- --------- --------- Net cash provided by (used in) investing activities.................................... (22,8301,181) 824 (9,9697,758) 411,623 --------- --------- --------- Cash flows from financing activities: Cash distributions to partners.......................... (96,377283,225) (280,803572,165) (967,454511,369) --------- --------- --------- Net increase (decrease) decrease in cash........................... ...................................... (60,65053,802) (113,26698,469) 165,514 (13,566) Cash at beginning of year................................. 118,873 232,139 66,625 332,031 430,500 444,066 --------- --------- --------- Cash at end of year....................................... $ 58,223 278,229 $ 118,873 332,031 $ 232,139 430,500 ========= ========= ========= The accompanying notes are an integral part of these financial statements. 15 151 14 150 PARKXX & XARSLEY 86XARSXXX XXXDUCING PROPERTIES 88-A, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00Xarsley Producing Properties 88-A, Ltd. L.P. (the "Partnership") is a limited partnership organized in 1986 1988 under the laws of the State of TexasDelaware. As of August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership. Prior to August 8, 1997, the Partnership's managing general partner was Parkxx & Xarsley Development Xarsxxx Xxxelopment L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Xarsley Petroleum Company ("Parkxx & XarsleyXarsxxx"). On August 7, 1997, Parkxx & Xarsxxx xxx Xarsley and Mesa Inc. received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership as PPDLP's successor by merger. The Partnership engages primarily in oil and gas development and production in Texas and is not involved in any industry segment other than oil and gas.
Appears in 1 contract
Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
Notes to Financial Statements. 16 9 145 15 8 144 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8690-AC, Ltd. L.P. (A Texas Delaware Limited Partnership): We have audited the balance sheet of Parker & Parsley 8690-AC, Ltd. L.P. as of December 31, 1998, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8690-AC, Ltd. L.P. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8690-AC, Ltd. L.P. (A Texas Delaware Limited Partnership): We have audited the financial statements of Parker & Parsley 8690-AC, Ltd. L.P. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8690-AC, Ltd. L.P. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 10 146 PARKER & PARSLEY 8690-AC, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- Current assets: Cash...................................................... $ 58,223 99,482 $ 118,873 133,831 Accounts receivable -- oil and gas sales.................. 47,579 79,774 66,369 112,358 ----------- ----------- Total current assets.............................. 105,802 198,647 165,851 246,189 ----------- ----------- Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 9,268,288 9,246,832 Accumulated depletion....................................... (6,577,7907,817,025) (6,293,6057,231,332) ----------- ----------- Net oil and gas properties........................ 540,422 801,777 1,451,263 2,015,500 ----------- ----------- $ 646,224 1,617,114 $ 1,000,424 2,261,689 =========== =========== LIABILITIES AND PARTNERS' CAPITAL Current Liabilitiesliabilities: Accounts payable -- affiliate............................. $ 11,837 23,084 $ 21,145 40,038 Partners' capital: Managing general partner.................................. 5,038 8,487 15,890 22,166 Limited partners (10,131 12,107 interests)....................... 629,349 970,792 1,578,140 2,199,485 ----------- ----------- 634,387 979,279 1,594,030 2,221,651 ----------- ----------- $ 646,224 1,617,114 $ 1,000,424 2,261,689 =========== =========== The accompanying notes are an integral part of these financial statements. 12 148 11 147 PARKXX & XARSXXX 00-AC, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- ---------- ---------- ---------- Revenues: Oil and gas............................................ $ 415,842 $ 605,964 $ 843,204 692,090 $1,063,396 $1,346,937 Interest............................................... 4,764 8,432 15,409 Litigation settlement.................................. -- -- 290,690 7,300 9,318 8,218 Gain (loss) on disposition of assets.......................... ................... -- -- 175,662 --------- 1,287 (10,427) ---------- ---------- 420,606 614,396 1,324,965 --------- ---------- 699,390 1,074,001 1,344,728 ---------- ---------- ---------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 505,571 532,654 542,077 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 24,190 36,037 43,593 Impairment of oil and gas properties................... 23,593 496,887 298,622 127,213 -- --------- Depletion.............................................. 287,071 209,836 181,255 ---------- ---------- 669,121 1,082,123 583,194 --------- ---------- 1,115,454 905,740 766,925 ---------- ---------- ---------- Net income (loss)........................................ $$ (248,515416,064) $ (467,727) 168,261 $ 741,771 577,803 ========== ========== ========== Allocation of net income (loss): Managing general partner............................... $ (2,4854,161) $ (4,677) 1,683 $ 7,417 5,778 ========== ========== ========== Limited partners....................................... $$ (246,030411,903) $ (463,050) 166,578 $ 734,354 572,025 ========== ========== ========== Net income (loss) per limited partnership interest....... $ (24.2834.02) $ (45.71) 13.76 $ 72.49 47.25 ========== ========== ========== The accompanying notes are an integral part of these financial statements. 12 148 PARKXX & XARSLEY 90-C, L.P. (A DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... $26,875 $2,665,663 $2,692,538 Distributions............................................ (6,357) (629,329) (635,686) Net income............................................... 5,778 572,025 577,803 ------- ---------- ---------- Partners' capital at December 31, 1996..................... 26,296 2,608,359 2,634,655 Distributions............................................ (5,813) (575,452) (581,265) Net income............................................... 1,683 166,578 168,261 ------- ---------- ---------- Partners' capital at December 31, 1997..................... 22,166 2,199,485 2,221,651 Distributions............................................ (2,115) (209,442) (211,557) Net loss................................................. (4,161) (411,903) (416,064) ------- ---------- ---------- Partners' capital at December 31, 1998..................... $15,890 $1,578,140 $1,594,030 ======= ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 86-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... $18,230 $1,935,262 $1,953,492 Distributions............................................ (9,675) (957,779) (967,454) Net income............................................... 7,417 734,354 741,771 ------- ---------- ---------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 Distributions............................................ (2,808) (277,995) (280,803) Net loss................................................. (4,677) (463,050) (467,727) ------- ---------- ---------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 Distributions............................................ (964) (95,413) (96,377) Net loss................................................. (2,485) (246,030) (248,515) ------- ---------- ---------- Partners' capital at December 31, 1998..................... $ 5,038 $ 629,349 $ 634,387 ======= ========== ========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00-AC, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- Cash flows from operating activities: Net income (loss)....................................... $(248,515) $(467,727) $ 741,771 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Impairment of oil and gas properties................. 23,593 496,887 -- Depletion............................................ 260,592 162,452 156,510 Gain on disposition of assets........................ -- -- (175,662) Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 (15,109) Accounts payable..................................... (9,308) (56,226) 13,835 --------- --------- --------- Net cash provided by operating activities....... 58,557 177,506 721,345 --------- --------- --------- Cash flows from investing activities: Additions to oil and gas properties..................... (22,830) (9,969) (2,820) Proceeds from asset dispositions........................ -- -- 414,443 --------- --------- --------- Net cash provided by (used in) investing activities.................................... (22,830) (9,969) 411,623 --------- --------- --------- Cash flows from financing activities: Cash distributions to partners.......................... (96,377) (280,803) (967,454) --------- --------- --------- Net increase (decrease) in cash........................... (60,650) (113,266) 165,514 Cash at beginning of year................................. 118,873 232,139 66,625 --------- --------- --------- Cash at end of year....................................... $ 58,223 $ 118,873 $ 232,139 ========= ========= ========= The accompanying notes are an integral part of these financial statements. 15 151 PARKXX & XARSLEY 86-A, LTD. (A TEXAS LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00-A, Ltd. (the "Partnership") is a limited partnership organized in 1986 under the laws of the State of Texas. As of August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership. Prior to August 8, 1997, the Partnership's managing general partner was Parkxx & Xarsley Development L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Company ("Parkxx & Xarsley"). On August 7, 1997, Parkxx & Xarsxxx xxx Mesa Inc. received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership as PPDLP's successor by merger. The Partnership engages primarily in oil and gas development and production in Texas and is not involved in any industry segment other than oil and gas.
Appears in 1 contract
Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
Notes to Financial Statements. 16 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 86-AB, Ltd. (A Texas Limited Partnership): We have audited the balance sheet of Parker & Parsley 86-AB, Ltd. as of December 31, 1998, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 86-AB, Ltd. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 86-AB, Ltd. (A Texas Limited Partnership): We have audited the financial statements of Parker & Parsley 86-AB, Ltd. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker Parkxx & Parsley 86Xarsxxx 00-AB, Ltd. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 PARKER PARKXX & PARSLEY XARSLEY 86-AB, LTD. (A TEXAS LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- Current assets: Cash...................................................... $ 58,223 185,320 $ 118,873 259,795 Accounts receivable -- oil and gas sales.................. 47,579 79,774 120,424 168,175 ----------- ----------- Total current assets.............................. 105,802 198,647 305,744 427,970 ----------- ----------- Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 12,038,382 12,263,266 Accumulated depletion....................................... (6,577,7909,980,171) (6,293,6059,171,064) ----------- ----------- Net oil and gas properties........................ 540,422 801,777 2,058,211 3,092,202 ----------- ----------- $ 646,224 2,363,955 $ 1,000,424 3,520,172 =========== =========== LIABILITIES AND PARTNERS' CAPITAL Current Liabilitiesliabilities: Accounts payable -- affiliate............................. $ 11,837 11,216 $ 21,145 35,336 Partners' capital: Managing general partner.................................. 5,038 8,487 22,251 33,572 Limited partners (10,131 17,208 interests)....................... 629,349 970,792 2,330,488 3,451,264 ----------- ----------- 634,387 979,279 2,352,739 3,484,836 ----------- ----------- $ 646,224 2,363,955 $ 1,000,424 3,520,172 =========== =========== The accompanying notes are an integral part of these financial statements. 12 148 PARKXX & XARSXXX 00-AB, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- ---------- ---------- ---------- Revenues: Oil and gas............................................ $ 415,842 $ 605,964 $ 843,204 928,899 $1,369,807 $1,700,251 Interest............................................... 4,764 8,432 15,409 Litigation settlement.................................. -- -- 290,690 12,967 16,347 17,149 Gain on disposition of assets.......................... 6,371 -- 68,568 Litigation settlement.................................. -- -- 175,662 --------- 565,756 ---------- ---------- 420,606 614,396 1,324,965 --------- ---------- 948,237 1,386,154 2,351,724 ---------- ---------- ---------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 662,691 628,784 730,032 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 27,867 43,678 51,008 Impairment of oil and gas properties................... 23,593 496,887 509,585 561,432 4,960 Depletion.............................................. 534,746 311,056 327,745 Abandoned property..................................... 20,389 -- --------- 8,340 ---------- ---------- 669,121 1,082,123 583,194 --------- ---------- 1,755,278 1,544,950 1,122,085 ---------- ---------- ---------- Net income (loss)........................................ $$ (248,515807,041) $ (467,727158,796) $ 741,771 $1,229,639 ========== ========== ========== Allocation of net income (loss): Managing general partner............................... $ (2,4858,070) $ (4,6771,587) $ 7,417 12,296 ========== ========== ========== Limited partners....................................... $$ (246,030798,971) $ (463,050157,209) $ 734,354 $1,217,343 ========== ========== ========== Net income (loss) per limited partnership interest....... $ (24.2846.43) $ (45.719.14) $ 72.49 70.74 ========== ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 86-AB, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- ----------- ----------- Partners' capital at January 1, 1996....................... $18,230 $1,935,262 $1,953,492 .................... $ 46,026 $ 4,684,266 $ 4,730,292 Distributions............................................ ......................................... (9,67515,033) (957,7791,488,332) (967,4541,503,365) Net income............................................... 7,417 734,354 741,771 ------- ---------- ---------- ............................................ 12,296 1,217,343 1,229,639 -------- ----------- ----------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 .................. 43,289 4,413,277 4,456,566 Distributions............................................ ......................................... (2,8088,130) (277,995804,804) (280,803812,934) Net loss................................................. .............................................. (4,6771,587) (463,050157,209) (467,727158,796) ------- ---------- ---------- -------- ----------- ----------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 .................. 33,572 3,451,264 3,484,836 Distributions............................................ ......................................... (9643,251) (95,413321,805) (96,377325,056) Net loss................................................. .............................................. (2,4858,070) (246,030798,971) (248,515807,041) ------- ---------- ---------- -------- ----------- ----------- Partners' capital at December 31, 1998..................... .................. $ 5,038 22,251 $ 629,349 2,330,488 $ 634,387 2,352,739 ======== =========== =========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00-AB, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- ----------- Cash flows from operating activities: Net income (loss)....................................... ...................................... $(248,515807,041) $(467,727158,796) $ 741,771 1,229,639 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Impairment of oil and gas properties................. 23,593 496,887 -- ................ 509,585 561,432 4,960 Depletion............................................ 260,592 162,452 156,510 ........................................... 534,746 311,056 327,745 Gain on disposition of assets........................ -- ....................... (6,371) -- (175,66268,568) Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 ................................. 47,751 101,746 (15,10991,546) Accounts payable..................................... .................................... (9,30824,120) (56,22656,436) 13,835 7,825 --------- --------- --------- ----------- Net cash provided by operating activities....... 58,557 177,506 721,345 ...... 254,550 759,002 1,410,055 --------- --------- --------- ----------- Cash flows from investing activities: Additions to oil and gas properties..................... .................... (22,83019,495) (9,969) (2,820) -- -- Proceeds from asset dispositions........................ -- -- 414,443 disposition of assets.................... 15,526 18,756 236,518 --------- --------- --------- ----------- Net cash provided by (used in) investing activities.................................... ................................... (22,8303,969) (9,969) 411,623 18,756 236,518 --------- --------- --------- ----------- Cash flows from financing activities: Cash distributions to partners.......................... ......................... (96,377325,056) (280,803812,934) (967,4541,503,365) --------- --------- --------- ----------- Net increase (decrease) in cash........................... .......................... (60,65074,475) (113,26635,176) 165,514 143,208 Cash at beginning of year................................. 118,873 232,139 66,625 ................................ 259,795 294,971 151,763 --------- --------- --------- ----------- Cash at end of year....................................... ...................................... $ 58,223 185,320 $ 118,873 259,795 $ 232,139 294,971 ========= ========= =========== The accompanying notes are an integral part of these financial statements. 15 151 PARKXX & XARSLEY 86-AB, LTD. (A TEXAS LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00-AB, Ltd. (the "Partnership") is a limited partnership organized in 1986 under the laws of the State of Texas. As of August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership. Prior to August 8, 1997, the Partnership's managing general partner was Parkxx & Xarsley Development L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Company ("Parkxx & Xarsley"). On August 7, 1997, Parkxx & Xarsxxx xxx Mesa Inc. received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership as PPDLP's successor by merger. The Partnership engages primarily in oil and gas development and production in Texas and is not involved in any industry segment other than oil and gas.
Appears in 1 contract
Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
Notes to Financial Statements. 16 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8687-A, Ltd. (A Texas Limited Partnership): We have audited the balance sheet of Parker & Parsley 8687-A, Ltd. as of December 31, 1998, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8687-A, Ltd. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8687-A, Ltd. (A Texas Limited Partnership): We have audited the financial statements of Parker & Parsley 8687-A, Ltd. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker Parkxx & Parsley 86Xarsxxx 00-A, Ltd. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 PARKER PARKXX & PARSLEY 86XARSLEY 87-A, LTD. (A TEXAS LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- ------------ ------------ Current assets: Cash...................................................... $ 58,223 282,299 $ 118,873 383,854 Accounts receivable -- oil and gas sales.................. 47,579 79,774 ----------- ----------- 162,293 290,867 ------------ ------------ Total current assets.............................. 105,802 198,647 ----------- ----------- 444,592 674,721 ------------ ------------ Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 .............................. 20,141,411 20,138,832 Accumulated depletion....................................... ..................................... (6,577,79017,119,544) (6,293,60516,020,451) ----------- ----------- ------------ ------------ Net oil and gas properties........................ 540,422 801,777 ----------- ----------- 3,021,867 4,118,381 ------------ ------------ $ 646,224 3,466,459 $ 1,000,424 4,793,102 ============ ============ LIABILITIES AND PARTNERS' CAPITAL Current Liabilitiesliabilities: Accounts payable -- affiliate............................. $ 11,837 34,972 $ 21,145 56,856 Partners' capital: Managing general partner.................................. 5,038 8,487 34,289 47,336 Limited partners (10,131 28,811 interests)....................... 629,349 970,792 ----------- ----------- 634,387 979,279 ----------- ----------- 3,397,198 4,688,910 ------------ ------------ 3,431,487 4,736,246 ------------ ------------ $ 646,224 3,466,459 $ 1,000,424 4,793,102 ============ ============ The accompanying notes are an integral part of these financial statements. 12 148 PARKXX & XARSXXX 00-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- ---------- ---------- ---------- Revenues: Oil and gas............................................ $ 415,842 $ 605,964 $ 843,204 $1,453,492 $2,232,898 $2,627,636 Interest............................................... 4,764 8,432 15,409 Litigation settlement.................................. -- -- 290,690 19,970 25,770 33,179 Gain on disposition of assets.......................... 765 16 377,310 Litigation settlement.................................. -- -- 175,662 --------- 848,304 ---------- ---------- 420,606 614,396 1,324,965 --------- ---------- 1,474,227 2,258,684 3,886,429 ---------- ---------- ---------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 1,068,450 1,019,461 1,114,916 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 42,787 71,283 82,400 Impairment of oil and gas properties................... 23,593 496,887 477,501 732,890 348,546 Depletion.............................................. 621,592 484,578 510,550 Abandoned property..................................... -- --------- -- 26,123 ---------- ---------- 669,121 1,082,123 583,194 --------- ---------- 2,210,330 2,308,212 2,082,535 ---------- ---------- ---------- Net income (loss)........................................ $$ (248,515736,103) $ (467,72749,528) $ 741,771 $1,803,894 ========== ========== ========== Allocation of net income (loss): Managing general partner............................... $ (2,4857,361) $ (4,677495) $ 7,417 18,039 ========== ========== ========== Limited partners....................................... $$ (246,030728,742) $ (463,05049,033) $ 734,354 $1,785,855 ========== ========== ========== Net income (loss) per limited partnership interest....... $ (24.2825.29) $ (45.711.70) $ 72.49 61.99 ========== ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 8687-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- ----------- ----------- Partners' capital at January 1, 1996....................... $18,230 $1,935,262 $1,953,492 .................... $ 68,348 $ 6,766,910 $ 6,835,258 Distributions............................................ ......................................... (9,67526,158) (957,7792,589,747) (967,4542,615,905) Net income............................................... 7,417 734,354 741,771 ------- ---------- ---------- ............................................ 18,039 1,785,855 1,803,894 -------- ----------- ----------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 .................. 60,229 5,963,018 6,023,247 Distributions............................................ ......................................... (2,80812,398) (277,9951,225,075) (280,8031,237,473) Net loss................................................. .............................................. (4,677495) (463,05049,033) (467,72749,528) ------- ---------- ---------- -------- ----------- ----------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 .................. 47,336 4,688,910 4,736,246 Distributions............................................ ......................................... (9645,686) (95,413562,970) (96,377568,656) Net loss................................................. .............................................. (2,4857,361) (246,030728,742) (248,515736,103) ------- ---------- ---------- -------- ----------- ----------- Partners' capital at December 31, 1998..................... .................. $ 5,038 34,289 $ 629,349 3,397,198 $ 634,387 3,431,487 ======== =========== =========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- ----------- ----------- Cash flows from operating activities: Net income (loss)....................................... .................................... $(248,515) $(467,727736,103) $ 741,771 (49,528) $ 1,803,894 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Impairment of oil and gas properties................. 23,593 496,887 -- .............. 477,501 732,890 348,546 Depletion............................................ 260,592 162,452 156,510 ......................................... 621,592 484,578 510,550 Gain on disposition of assets........................ -- -- ..................... (175,662765) (16) (377,310) Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 ............................... 128,574 91,163 (15,109120,875) Accounts payable..................................... .................................. (9,30821,884) (56,22691,728) 13,835 14,379 --------- --------- --------- ----------- ----------- Net cash provided by operating activities....... 58,557 177,506 721,345 .... 468,915 1,167,359 2,179,184 --------- --------- --------- ----------- ----------- Cash flows from investing activities: Additions to oil and gas properties..................... .................. (22,83017,466) (9,96927,705) (2,820) -- Proceeds from asset dispositions........................ -- -- 414,443 disposition of assets.................. 15,652 16 565,359 --------- --------- --------- ----------- ----------- Net cash provided by (used in) investing activities.................................... ................................. (22,8301,814) (9,96927,689) 411,623 565,359 --------- --------- --------- ----------- ----------- Cash flows from financing activities: Cash distributions to partners.......................... ....................... (96,377568,656) (280,8031,237,473) (967,4542,615,905) --------- --------- --------- ----------- ----------- Net increase (decrease) in cash........................... ........................ (60,650101,555) (113,26697,803) 165,514 128,638 Cash at beginning of year................................. 118,873 232,139 66,625 .............................. 383,854 481,657 353,019 --------- --------- --------- ----------- ----------- Cash at end of year....................................... .................................... $ 58,223 282,299 $ 118,873 383,854 $ 232,139 481,657 ========= =========== =========== The accompanying notes are an integral part of these financial statements. 15 151 PARKXX & XARSLEY 8687-A, LTD. (A TEXAS LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00-A, Ltd. (the "Partnership") is a limited partnership organized in 1986 1987 under the laws of the State of Texas. As of August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership. Prior to August 8, 1997, the Partnership's managing general partner was Parkxx & Xarsley Development L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Company ("Parkxx & Xarsley"). On August 7, 1997, Parkxx & Xarsxxx xxx Mesa Inc. received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership as PPDLP's successor by merger. The Partnership engages primarily in oil and gas development and production in the Spraxxxxx Xxxnd area of West Texas and is not involved in any industry segment other than oil and gas.
Appears in 1 contract
Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
Notes to Financial Statements. 16 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8690-AB, Ltd. L.P. (A Texas Delaware Limited Partnership): We have audited the balance sheet of Parker & Parsley 8690-AB, Ltd. L.P. as of December 31, 1998, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8690-AB, Ltd. L.P. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8690-AB, Ltd. L.P. (A Texas Delaware Limited Partnership): We have audited the financial statements of Parker & Parsley 8690-AB, Ltd. L.P. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8690-AB, Ltd. L.P. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 PARKER & PARSLEY 8690-AB, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- ------------ ------------ Current assets: Cash...................................................... $ 58,223 211,469 $ 118,873 326,401 Accounts receivable -- oil and gas sales.................. 47,579 79,774 ----------- ----------- 227,293 343,809 ------------ ------------ Total current assets.............................. 105,802 198,647 ----------- ----------- 438,762 670,210 ------------ ------------ Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 ......................................... 26,035,940 25,986,193 Accumulated depletion....................................... (6,577,79020,889,657) (6,293,60519,256,739) ----------- ----------- ------------ ------------ Net oil and gas properties........................ 540,422 801,777 ----------- ----------- 5,146,283 6,729,454 ------------ ------------ $ 646,224 5,585,045 $ 1,000,424 7,399,664 ============ ============ LIABILITIES AND PARTNERS' CAPITAL Current Liabilitiesliabilities: Accounts payable -- affiliate............................. $ 11,837 61,975 $ 21,145 93,972 Partners' capital: Managing general partner.................................. 5,038 8,487 55,234 73,061 Limited partners (10,131 32,264 interests)....................... 629,349 970,792 ----------- ----------- 634,387 979,279 ----------- ----------- 5,467,836 7,232,631 ------------ ------------ 5,523,070 7,305,692 ------------ ------------ $ 646,224 5,585,045 $ 1,000,424 7,399,664 ============ ============ The accompanying notes are an integral part of these financial statements. 12 148 PARKXX & XARSXXX 00-AB, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- ----------- ---------- ---------- Revenues: Oil and gas............................................ ........................................... $ 415,842 $ 605,964 $ 843,204 2,074,056 $3,033,675 $3,748,608 Interest............................................... 4,764 8,432 15,409 Litigation settlement.................................. -- -- 290,690 .............................................. 18,654 23,727 21,527 Gain on disposition of assets.......................... ......................... 4,527 -- -- 175,662 --------- 6,512 ----------- ---------- ---------- 420,606 614,396 1,324,965 --------- 2,097,237 3,057,402 3,776,647 ----------- ---------- ---------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 ................................ 1,403,494 1,448,425 1,420,416 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 ............................ 72,284 103,014 112,892 Impairment of oil and gas properties................... 23,593 496,887 -- --------- .................. 744,642 891,257 61,080 Depletion............................................. 888,276 764,088 703,207 ----------- ---------- ---------- 669,121 1,082,123 583,194 --------- 3,108,696 3,206,784 2,297,595 ----------- ---------- ---------- Net income (loss)........................................ ....................................... $(248,5151,011,459) $ (467,727149,382) $ 741,771 $1,479,052 =========== ========== ========== Allocation of net income (loss): Managing general partner............................... .............................. $ (2,48510,115) $ (4,6771,494) $ 7,417 14,790 =========== ========== ========== Limited partners....................................... ...................................... $(246,0301,001,344) $ (463,050147,888) $ 734,354 $1,464,262 =========== ========== ========== Net income (loss) per limited partnership interest....... ...... $ (24.2831.04) $ (45.714.58) $ 72.49 45.38 =========== ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 8690-AB, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- ----------- ----------- Partners' capital at January 1, 1996....................... $18,230 $1,935,262 $1,953,492 .................... $ 95,156 $ 9,421,164 $ 9,516,320 Distributions............................................ ......................................... (9,67518,320) (957,7791,814,872) (967,4541,833,192) Net income............................................... 7,417 734,354 741,771 ------- ---------- ---------- ............................................ 14,790 1,464,262 1,479,052 -------- ----------- ----------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 .................. 91,626 9,070,554 9,162,180 Distributions............................................ ......................................... (2,80817,071) (277,9951,690,035) (280,8031,707,106) Net loss................................................. .............................................. (4,6771,494) (463,050147,888) (467,727149,382) ------- ---------- ---------- -------- ----------- ----------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 .................. 73,061 7,232,631 7,305,692 Distributions............................................ ......................................... (9647,712) (95,413763,451) (96,377771,163) Net loss................................................. .............................................. (2,48510,115) (246,0301,001,344) (248,5151,011,459) ------- ---------- ---------- -------- ----------- ----------- Partners' capital at December 31, 1998..................... .................. $ 5,038 55,234 $ 629,349 5,467,836 $ 634,387 5,523,070 ======== =========== =========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00-AB, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- Cash flows from operating activities: Net income (loss)....................................... $(248,515) $(467,727) $ 741,771 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Impairment of oil and gas properties................. 23,593 496,887 -- Depletion............................................ 260,592 162,452 156,510 Gain on disposition of assets........................ -- -- (175,662) Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 (15,109) Accounts payable..................................... (9,308) (56,226) 13,835 --------- --------- --------- Net cash provided by operating activities....... 58,557 177,506 721,345 --------- --------- --------- Cash flows from investing activities: Additions to oil and gas properties..................... (22,830) (9,969) (2,820) Proceeds from asset dispositions........................ -- -- 414,443 --------- --------- --------- Net cash provided by (used in) investing activities.................................... (22,830) (9,969) 411,623 --------- --------- --------- Cash flows from financing activities: Cash distributions to partners.......................... (96,377) (280,803) (967,454) --------- --------- --------- Net increase (decrease) in cash........................... (60,650) (113,266) 165,514 Cash at beginning of year................................. 118,873 232,139 66,625 --------- --------- --------- Cash at end of year....................................... $ 58,223 $ 118,873 $ 232,139 ========= ========= ========= The accompanying notes are an integral part of these financial statements. 15 151 PARKXX & XARSLEY 86-A, LTD. (A TEXAS LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00-A, Ltd. (the "Partnership") is a limited partnership organized in 1986 under the laws of the State of Texas. As of August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership. Prior to August 8, 1997, the Partnership's managing general partner was Parkxx & Xarsley Development L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Company ("Parkxx & Xarsley"). On August 7, 1997, Parkxx & Xarsxxx xxx Mesa Inc. received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership as PPDLP's successor by merger. The Partnership engages primarily in oil and gas development and production in Texas and is not involved in any industry segment other than oil and gas.
Appears in 1 contract
Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
Notes to Financial Statements. 16 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8684-A, Ltd. (A Texas Limited Partnership): We have audited the balance sheet of Parker & Parsley 8684-A, Ltd. as of December 31, 1998, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8684-A, Ltd. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8684-A, Ltd. (A Texas Limited Partnership): We have audited the financial statements of Parker & Parsley 8684-A, Ltd. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8684-A, Ltd. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 PARKER & PARSLEY 8684-A, LTD. (A TEXAS LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- ------------ ------------ Current assets: Cash...................................................... $ 58,223 124,005 $ 118,873 159,695 Accounts receivable -- oil and gas sales.................. 47,579 79,774 ----------- ----------- 139,623 225,232 ------------ ------------ Total current assets.............................. 105,802 198,647 ----------- ----------- 263,628 384,927 ------------ ------------ Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 18,233,825 18,223,253 Accumulated depletion....................................... (6,577,79016,106,643) (6,293,60514,950,537) ----------- ----------- ------------ ------------ Net oil and gas properties........................ 540,422 801,777 ----------- ----------- 2,127,182 3,272,716 ------------ ------------ $ 646,224 2,390,810 $ 1,000,424 3,657,643 ============ ============ LIABILITIES AND PARTNERS' CAPITAL Current Liabilitiesliabilities: Accounts payable -- affiliate............................. $ 11,837 32,951 $ 21,145 41,183 Partners' capital: Managing general partner.................................. 5,038 8,487 General partners.......................................... 252,487 395,245 Limited partners (10,131 19,435 interests)....................... 629,349 970,792 ----------- ----------- 634,387 979,279 ----------- ----------- 2,105,372 3,221,215 ------------ ------------ 2,357,859 3,616,460 ------------ ------------ $ 646,224 2,390,810 $ 1,000,424 3,657,643 ============ ============ The accompanying notes are an integral part of these financial statements. 12 148 PARKXX & XARSXXX 00-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- ---------- ---------- ---------- Revenues: Oil and gas............................................ $ 415,842 $ 605,964 $ 843,204 $1,124,134 $1,668,018 $1,984,346 Interest............................................... 4,764 8,432 15,409 Litigation settlement.................................. -- -- 290,690 10,158 12,752 10,391 Gain on disposition of assets.......................... 2,100 3,072 -- Litigation settlement.................................. -- -- 175,662 --------- 1,055,353 ---------- ---------- 420,606 614,396 1,324,965 --------- ---------- 1,136,392 1,683,842 3,050,090 ---------- ---------- ---------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 865,247 869,909 876,376 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 38,385 57,698 67,319 Impairment of oil and gas properties................... 23,593 496,887 425,668 370,361 -- --------- Depletion.............................................. 730,438 315,750 323,910 Abandoned property..................................... -- -- 347 ---------- ---------- 669,121 1,082,123 583,194 --------- ---------- 2,059,738 1,613,718 1,267,952 ---------- ---------- ---------- Net income (loss)........................................ $$ (248,515923,346) $ (467,727) $ 741,771 70,124 $1,782,138 ========== ========== ========== Allocation of net income (loss): Managing general partner............................... General partners....................................... $ (2,48556,570) $ (4,677) 121,907 $ 7,417 462,041 ========== ========== ========== Limited partners....................................... $$ (246,030866,776) $ (463,05051,783) $ 734,354 $1,320,097 ========== ========== ========== Net income (loss) per limited partnership interest....... $ (24.2844.60) $ (45.712.66) $ 72.49 67.92 ========== ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 8684-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... $18,230 $1,935,262 $1,953,492 Distributions............................................ (9,675) (957,779) (967,454) Net income............................................... 7,417 734,354 741,771 ------- ---------- ---------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 Distributions............................................ (2,808) (277,995) (280,803) Net loss................................................. (4,677) (463,050) (467,727) ------- ---------- ---------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 Distributions............................................ (964) (95,413) (96,377) Net loss................................................. (2,485) (246,030) (248,515) ------- ---------- ---------- Partners' capital at December 31, 1998..................... $ 5,038 $ 629,349 $ 634,387 ======= ========== ========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- Cash flows from operating activities: Net income (loss)....................................... $(248,515) $(467,727) $ 741,771 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Impairment of oil and gas properties................. 23,593 496,887 -- Depletion............................................ 260,592 162,452 156,510 Gain on disposition of assets........................ -- -- (175,662) Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 (15,109) Accounts payable..................................... (9,308) (56,226) 13,835 --------- --------- --------- Net cash provided by operating activities....... 58,557 177,506 721,345 --------- --------- --------- Cash flows from investing activities: Additions to oil and gas properties..................... (22,830) (9,969) (2,820) Proceeds from asset dispositions........................ -- -- 414,443 --------- --------- --------- Net cash provided by (used in) investing activities.................................... (22,830) (9,969) 411,623 --------- --------- --------- Cash flows from financing activities: Cash distributions to partners.......................... (96,377) (280,803) (967,454) --------- --------- --------- Net increase (decrease) in cash........................... (60,650) (113,266) 165,514 Cash at beginning of year................................. 118,873 232,139 66,625 --------- --------- --------- Cash at end of year....................................... $ 58,223 $ 118,873 $ 232,139 ========= ========= ========= The accompanying notes are an integral part of these financial statements. 15 151 PARKXX & XARSLEY 86-A, LTD. (A TEXAS LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00-A, Ltd. (the "Partnership") is a limited partnership organized in 1986 under the laws of the State of Texas. As of August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership. Prior to August 8, 1997, the Partnership's managing general partner was Parkxx & Xarsley Development L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Company ("Parkxx & Xarsley"). On August 7, 1997, Parkxx & Xarsxxx xxx Mesa Inc. received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership as PPDLP's successor by merger. The Partnership engages primarily in oil and gas development and production in Texas and is not involved in any industry segment other than oil and gas.CAPITAL
Appears in 1 contract
Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
Notes to Financial Statements. 16 9 145 15 8 144 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8690-AC Conv., Ltd. L.P. (A Texas Delaware Limited Partnership): We have audited the balance sheet of Parker & Parsley 8690-AC Conv., Ltd. L.P. as of December 31, 1998, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8690-AC Conv., Ltd. L.P. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8690-AC Conv., Ltd. L.P. (A Texas Delaware Limited Partnership): We have audited the financial statements of Parker & Parsley 8690-AC Conv., Ltd. L.P. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8690-AC Conv., Ltd. L.P. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 10 146 PARKER & PARSLEY 8690-AC CONV., LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- Current assets: Cash...................................................... $ 58,223 66,221 $ 118,873 87,423 Accounts receivable -- oil and gas sales.................. 47,579 79,774 41,400 69,891 ----------- ----------- Total current assets.............................. 105,802 198,647 107,621 157,314 ----------- ----------- Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 5,765,217 5,751,870 Accumulated depletion....................................... (6,577,7904,861,804) (6,293,6054,497,380) ----------- ----------- Net oil and gas properties........................ 540,422 801,777 ............................. 903,413 1,254,490 ----------- ----------- $ 646,224 1,011,034 $ 1,000,424 1,411,804 =========== =========== LIABILITIES AND PARTNERS' CAPITAL Current Liabilities: Accounts payable -- affiliate............................. $ 11,837 13,398 $ 21,145 23,946 Partners' capital: Managing general partner.................................. 5,038 8,487 9,946 13,848 Limited partners (10,131 7,531 interests)....................... 629,349 970,792 ........................ 987,690 1,374,010 ----------- ----------- 634,387 979,279 997,636 1,387,858 ----------- ----------- $ 646,224 1,011,034 $ 1,000,424 1,411,804 =========== =========== The accompanying notes are an integral part of these financial statements. 12 148 11 147 PARKXX & XARSXXX 00-AC CONV., LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- ---------- ---------- -------- -------- Revenues: Oil and gas............................................ ............................................... $ 415,842 $ 605,964 $ 843,204 430,499 $661,475 $837,849 Interest............................................... 4,764 8,432 15,409 Litigation settlement.................................. -- -- 290,690 .................................................. 4,747 5,942 5,274 Gain (loss) on disposition of assets.......................... ...................... -- -- 175,662 800 (6,508) --------- ---------- ---------- 420,606 614,396 1,324,965 -------- -------- 435,246 668,217 836,615 --------- ---------- ---------- -------- -------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 .................................... 314,363 331,332 337,193 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 ................................ 15,084 21,436 27,292 Impairment of oil and gas properties................... 23,593 496,887 ...................... 185,784 79,288 -- Depletion................................................. 178,640 130,421 112,781 --------- ---------- ---------- 669,121 1,082,123 583,194 -------- -------- 693,871 562,477 477,266 --------- ---------- ---------- -------- -------- Net income (loss)........................................ ........................................... $(248,515258,625) $ (467,727) $ 741,771 $105,740 $359,349 ========= ========== ========== Allocation of net income (loss): Managing general partner............................... .................................. $ (2,4852,586) $ (4,677) 1,057 $ 7,417 3,593 ========= ========== ========== Limited partners....................................... .......................................... $(246,030256,039) $ (463,050) $ 734,354 $104,683 $355,756 ========= ========== ========== Net income (loss) per limited partnership interest....... .......... $ (24.2834.00) $ (45.71) 13.90 $ 72.49 47.24 ========= ======== ======== The accompanying notes are an integral part of these financial statements. 12 148 PARKXX & XARSLEY 90-C CONV., L.P. (A DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... $16,767 $1,662,989 $1,679,756 Distributions............................................ (3,954) (391,466) (395,420) Net income............................................... 3,593 355,756 359,349 ------- ---------- ---------- Partners' capital at December 31, 1996..................... 16,406 1,627,279 1,643,685 Distributions............................................ (3,615) (357,952) (361,567) Net income............................................... 1,057 104,683 105,740 ------- ---------- ---------- Partners' capital at December 31, 1997..................... 13,848 1,374,010 1,387,858 Distributions............................................ (1,316) (130,281) (131,597) Net loss................................................. (2,586) (256,039) (258,625) ------- ---------- ---------- Partners' capital at December 31, 1998..................... $ 9,946 $ 987,690 $ 997,636 ======= ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 86-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... $18,230 $1,935,262 $1,953,492 Distributions............................................ (9,675) (957,779) (967,454) Net income............................................... 7,417 734,354 741,771 ------- ---------- ---------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 Distributions............................................ (2,808) (277,995) (280,803) Net loss................................................. (4,677) (463,050) (467,727) ------- ---------- ---------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 Distributions............................................ (964) (95,413) (96,377) Net loss................................................. (2,485) (246,030) (248,515) ------- ---------- ---------- Partners' capital at December 31, 1998..................... $ 5,038 $ 629,349 $ 634,387 ======= ========== ========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00-AC CONV., LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- Cash flows from operating activities: Net income (loss)....................................... $(248,515) $(467,727) $ 741,771 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Impairment of oil and gas properties................. 23,593 496,887 -- Depletion............................................ 260,592 162,452 156,510 Gain on disposition of assets........................ -- -- (175,662) Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 (15,109) Accounts payable..................................... (9,308) (56,226) 13,835 --------- --------- --------- Net cash provided by operating activities....... 58,557 177,506 721,345 --------- --------- --------- Cash flows from investing activities: Additions to oil and gas properties..................... (22,830) (9,969) (2,820) Proceeds from asset dispositions........................ -- -- 414,443 --------- --------- --------- Net cash provided by (used in) investing activities.................................... (22,830) (9,969) 411,623 --------- --------- --------- Cash flows from financing activities: Cash distributions to partners.......................... (96,377) (280,803) (967,454) --------- --------- --------- Net increase (decrease) in cash........................... (60,650) (113,266) 165,514 Cash at beginning of year................................. 118,873 232,139 66,625 --------- --------- --------- Cash at end of year....................................... $ 58,223 $ 118,873 $ 232,139 ========= ========= ========= The accompanying notes are an integral part of these financial statements. 15 151 PARKXX & XARSLEY 86-A, LTD. (A TEXAS LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00-A, Ltd. (the "Partnership") is a limited partnership organized in 1986 under the laws of the State of Texas. As of August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership. Prior to August 8, 1997, the Partnership's managing general partner was Parkxx & Xarsley Development L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Company ("Parkxx & Xarsley"). On August 7, 1997, Parkxx & Xarsxxx xxx Mesa Inc. received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership as PPDLP's successor by merger. The Partnership engages primarily in oil and gas development and production in Texas and is not involved in any industry segment other than oil and gas.
Appears in 1 contract
Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
Notes to Financial Statements. 16 9 145 15 8 144 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8685-AB, Ltd. (A Texas Limited Partnership): We have audited the balance sheet of Parker & Parsley 8685-AB, Ltd. as of December 31, 1998, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8685-AB, Ltd. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8685-AB, Ltd. (A Texas Limited Partnership): We have audited the financial statements of Parker & Parsley 8685-AB, Ltd. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8685-AB, Ltd. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 10 146 PARKER & PARSLEY 8685-AB, LTD. (A TEXAS LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- Current assets: Cash...................................................... $ 58,223 47,370 $ 118,873 89,812 Accounts receivable -- oil and gas sales.................. 47,579 79,774 38,501 85,315 ----------- ----------- Total current assets.............................. 105,802 198,647 85,871 175,127 ----------- ----------- Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 5,312,024 5,304,077 Accumulated depletion....................................... (6,577,7904,275,826) (6,293,6054,092,446) ----------- ----------- Net oil and gas properties........................ 540,422 801,777 1,036,198 1,211,631 ----------- ----------- $ 646,224 1,122,069 $ 1,000,424 1,386,758 =========== =========== LIABILITIES AND PARTNERS' CAPITAL Current Liabilitiesliabilities: Accounts payable -- affiliate............................. $ 11,837 10,661 $ 21,145 18,571 Partners' capital: Managing general partner.................................. 5,038 8,487 11,465 14,031 Limited partners (10,131 7,988 interests)....................... 629,349 970,792 ........................ 1,099,943 1,354,156 ----------- ----------- 634,387 979,279 1,111,408 1,368,187 ----------- ----------- $ 646,224 1,122,069 $ 1,000,424 1,386,758 =========== =========== The accompanying notes are an integral part of these financial statements. 12 148 11 147 PARKXX & XARSXXX 00-AB, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- ---------- ---------- --------- -------- Revenues: Oil and gas............................................ .............................................. $ 415,842 341,048 $ 605,964 $ 843,204 538,813 $616,863 Interest............................................... 4,764 8,432 15,409 Litigation settlement.................................. -- -- 290,690 ................................................. 4,399 5,601 4,780 Gain on disposition of assets.......................... ............................ -- 16 6,287 Litigation settlement.................................... -- -- 175,662 62,948 --------- ---------- ---------- 420,606 614,396 1,324,965 --------- ---------- ---------- -------- 345,447 544,430 690,878 --------- --------- -------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 ................................... 269,093 251,942 252,095 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 ............................... 10,231 16,928 18,506 Impairment of oil and gas properties................... 23,593 496,887 ..................... 52,922 324,374 -- Depletion................................................ 130,458 128,277 124,093 Abandoned property....................................... -- -- 9,610 --------- ---------- ---------- 669,121 1,082,123 583,194 --------- ---------- ---------- -------- 462,704 721,521 404,304 --------- --------- -------- Net income (loss)........................................ .......................................... $(248,515117,257) $ $(467,727177,091) $ 741,771 $286,574 ========= ========== ========== Allocation of net income (loss): Managing general partner............................... ................................. $ (2,4851,172) $ (4,6771,771) $ 7,417 2,866 ========= ========== ========== Limited partners....................................... ......................................... $(246,030116,085) $ $(463,050175,320) $ 734,354 $283,708 ========= ========== ========== Net income (loss) per limited partnership interest....... ......... $ (24.2814.53) $ (45.7121.95) $ 72.49 35.52 ========= ========= ======== The accompanying notes are an integral part of these financial statements. 12 148 PARKXX & XARSLEY 85-B, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... $19,118 $1,857,790 $1,876,908 Distributions............................................ (3,462) (342,697) (346,159) Net income............................................... 2,866 283,708 286,574 ------- ---------- ---------- Partners' capital at December 31, 1996..................... 18,522 1,798,801 1,817,323 Distributions............................................ (2,720) (269,325) (272,045) Net loss................................................. (1,771) (175,320) (177,091) ------- ---------- ---------- Partners' capital at December 31, 1997..................... 14,031 1,354,156 1,368,187 Distributions............................................ (1,394) (138,128) (139,522) Net loss................................................. (1,172) (116,085) (117,257) ------- ---------- ---------- Partners' capital at December 31, 1998..................... $11,465 $1,099,943 $1,111,408 ======= ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 86-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... $18,230 $1,935,262 $1,953,492 Distributions............................................ (9,675) (957,779) (967,454) Net income............................................... 7,417 734,354 741,771 ------- ---------- ---------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 Distributions............................................ (2,808) (277,995) (280,803) Net loss................................................. (4,677) (463,050) (467,727) ------- ---------- ---------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 Distributions............................................ (964) (95,413) (96,377) Net loss................................................. (2,485) (246,030) (248,515) ------- ---------- ---------- Partners' capital at December 31, 1998..................... $ 5,038 $ 629,349 $ 634,387 ======= ========== ========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00-AB, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- Cash flows from operating activities: Net income (loss)....................................... $(248,515117,257) $(467,727177,091) $ 741,771 286,574 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Impairment of oil and gas properties................. 23,593 496,887 52,922 324,374 -- Depletion............................................ 260,592 162,452 156,510 130,458 128,277 124,093 Gain on disposition of assets........................ -- -- (175,66216) (6,287) Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 46,814 9,179 (15,10942,320) Accounts payable..................................... (9,3087,910) 4,397 (56,22622,409) 13,835 --------- --------- --------- Net cash provided by operating activities....... 58,557 177,506 721,345 105,027 289,120 339,651 --------- --------- --------- Cash flows from investing activities: Additions to oil and gas properties..................... equipment...................... (22,8307,947) (9,9694,469) (2,82074) Proceeds from asset dispositions........................ disposition of assets..................... -- -- 414,443 16 6,287 --------- --------- --------- Net cash provided by (used in) investing activities.................................... (22,8307,947) (9,9694,453) 411,623 6,213 --------- --------- --------- Cash flows from financing activities: Cash distributions to partners.......................... (96,377139,522) (280,803272,045) (967,454346,159) --------- --------- --------- Net increase (decrease) in cash........................... (60,65042,442) 12,622 (113,266295) 165,514 Cash at beginning of year................................. 118,873 232,139 66,625 89,812 77,190 77,485 --------- --------- --------- Cash at end of year....................................... $ 58,223 47,370 $ 118,873 89,812 $ 232,139 77,190 ========= ========= ========= The accompanying notes are an integral part of these financial statements. 15 151 14 150 PARKXX & XARSLEY 8685-AB, LTD. (A TEXAS LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00-AB, Ltd. (the "Partnership") is a limited partnership organized in 1986 1985 under the laws of the State of Texas. As of August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership. Prior to August 8, 1997, the Partnership's managing general partner was Parkxx & Xarsley Development L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Company ("Parkxx & Xarsley"). On August 7, 1997, Parkxx & Xarsxxx xxx Mesa Inc. received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership as PPDLP's successor by merger. The Partnership engages primarily in oil and gas development and production in Texas and is not involved in any industry segment other than oil and gas.
Appears in 1 contract
Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
Notes to Financial Statements. 16 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8683-AB, Ltd. (A Texas Limited Partnership): We have audited the balance sheet of Parker & Parsley 8683-AB, Ltd. as of December 31, 1998, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8683-AB, Ltd. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8683-AB, Ltd. (A Texas Limited Partnership): We have audited the financial statements of Parker Parkxx & Parsley 86Xarsxxx 00-AB, Ltd. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker Parkxx & Parsley 86Xarsley 83-AB, Ltd. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 PARKER PARKXX & PARSLEY 86XARSXXX 00-AB, LTD. (A TEXAS LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- ------------ ------------ Current assets: Cash...................................................... $ 58,223 173,699 $ 118,873 232,778 Accounts receivable -- oil and gas sales.................. 47,579 79,774 ----------- ----------- 150,704 223,024 Other..................................................... -- 10,817 ------------ ------------ Total current assets.............................. 105,802 198,647 ----------- ----------- 324,403 466,619 ------------ ------------ Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 19,489,320 19,461,615 Accumulated depletion....................................... (6,577,79017,284,587) (6,293,60516,153,730) ----------- ----------- ------------ ------------ Net oil and gas properties........................ 540,422 801,777 ----------- ----------- 2,204,733 3,307,885 ------------ ------------ $ 646,224 2,529,136 $ 1,000,424 3,774,504 ============ ============ LIABILITIES AND PARTNERS' CAPITAL Current Liabilities: Accounts payable -- affiliate............................. $ 11,837 34,427 $ 21,145 48,060 Partners' capital: Managing general partner.................................. 5,038 8,487 General partners.......................................... 297,127 435,525 Limited partners (10,131 23,370 interests)....................... 629,349 970,792 ----------- ----------- 634,387 979,279 ----------- ----------- 2,197,582 3,290,919 ------------ ------------ 2,494,709 3,726,444 ------------ ------------ $ 646,224 2,529,136 $ 1,000,424 3,774,504 ============ ============ The accompanying notes are an integral part of these financial statements. 12 148 PARKXX & XARSXXX 00XARSLEY 83-AB, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- ---------- ---------- ---------- Revenues: Oil and gas............................................ $ 415,842 $ 605,964 $ 843,204 $1,267,241 $1,924,748 $2,291,605 Interest............................................... 4,764 8,432 15,409 Litigation settlement.................................. -- -- 290,690 13,218 17,043 15,676 Gain on disposition of assets.......................... 157 41,460 67,179 Litigation settlement.................................. -- -- 175,662 --------- 1,392,304 ---------- ---------- 420,606 614,396 1,324,965 --------- ---------- 1,280,616 1,983,251 3,766,764 ---------- ---------- ---------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 978,080 1,011,554 984,640 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 43,488 66,617 75,597 Impairment of oil and gas properties................... 23,593 496,887 362,325 1,171,409 -- --------- Depletion.............................................. 768,532 485,291 365,203 Abandoned property..................................... -- 2,487 31,686 ---------- ---------- 669,121 1,082,123 583,194 --------- ---------- 2,152,425 2,737,358 1,457,126 ---------- ---------- ---------- Net income (loss)........................................ $$ (248,515871,809) $ (467,727754,107) $ 741,771 $2,309,638 ========== ========== ========== Allocation of net income (loss): Managing general partner............................... General partners....................................... $ (2,48546,980) $ (4,677) 56,351 $ 7,417 578,911 ========== ========== ========== Limited partners....................................... $$ (246,030824,829) $ (463,050810,458) $ 734,354 $1,730,727 ========== ========== ========== Net income (loss) per limited partnership interest....... $ (24.2835.29) $ (45.7134.68) $ 72.49 74.06 ========== ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 86XARSXXX 00-AB, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS PARTNERS TOTAL -------- ---------- ---------- --------- ----------- ----------- Partners' capital at January 1, 1996....................... $18,230 $1,935,262 $1,953,492 ................... $ 627,985 $ 5,009,377 $ 5,637,362 Distributions............................................ ........................................ (9,675577,837) (957,7791,879,611) (967,4542,457,448) Net income............................................... 7,417 734,354 741,771 ------- ---------- ---------- ........................................... 578,911 1,730,727 2,309,638 --------- ----------- ----------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 ................. 629,059 4,860,493 5,489,552 Distributions............................................ ........................................ (2,808249,885) (277,995759,116) (280,8031,009,001) Net income (loss................................................. ).................................... 56,351 (4,677810,458) (463,050754,107) (467,727) ------- ---------- ---------- --------- ----------- ----------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 ................. 435,525 3,290,919 3,726,444 Distributions............................................ ........................................ (96491,418) (95,413268,508) (96,377359,926) Net loss................................................. ............................................. (2,48546,980) (246,030824,829) (248,515871,809) ------- ---------- ---------- --------- ----------- ----------- Partners' capital at December 31, 1998..................... ............... $ 5,038 297,127 $ 629,349 2,197,582 $ 634,387 2,494,709 ========= =========== =========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00XARSLEY 83-AB, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- ----------- ----------- Cash flows from operating activities: Net income (loss)....................................... .................................... $(248,515) $(467,727871,809) $ 741,771 (754,107) $ 2,309,638 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Impairment of oil and gas properties................. 23,593 496,887 .............. 362,325 1,171,409 -- Depletion............................................ 260,592 162,452 156,510 ......................................... 768,532 485,291 365,203 Gain on disposition of assets........................ -- -- ..................... (175,662157) (41,460) (67,179) Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 ............................... 72,320 115,174 (15,109152,061) Accounts payable..................................... .................................. (9,30813,633) (56,22627) 13,835 (77,943) --------- --------- --------- ----------- ----------- Net cash provided by operating activities....... 58,557 177,506 721,345 .... 317,578 976,280 2,377,658 --------- --------- --------- ----------- ----------- Cash flows from investing activities: Additions to oil and gas properties..................... .................. (22,83027,705) (9,9696,639) (2,8202,559) Proceeds from asset dispositions........................ -- -- 414,443 disposition of assets.................. 10,974 43,201 67,179 --------- --------- --------- ----------- ----------- Net cash provided by (used in) investing activities.................................... ................................. (22,83016,731) (9,969) 411,623 36,562 64,620 --------- --------- --------- ----------- ----------- Cash flows from financing activities: Cash distributions to partners.......................... ....................... (96,377359,926) (280,8031,009,001) (967,4542,457,448) --------- --------- --------- ----------- ----------- Net increase (decrease) in cash........................... ........................ (60,65059,079) 3,841 (113,26615,170) 165,514 Cash at beginning of year................................. 118,873 232,139 66,625 .............................. 232,778 228,937 244,107 --------- --------- --------- ----------- ----------- Cash at end of year....................................... .................................... $ 58,223 173,699 $ 118,873 232,778 $ 232,139 228,937 ========= =========== =========== The accompanying notes are an integral part of these financial statements. 15 151 PARKXX & XARSLEY 86XARSXXX 00-AB, LTD. (A TEXAS LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00Xarsley 83-AB, Ltd. (the "Partnership") is a limited partnership organized in 1986 1983 under the laws of the State of Texas. As of On August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership, joining the existing general partner, P&P Employees 83-B, Ltd. ("EMPL"), a Texas limited partnership whose general partner is Pioneer USA, and 23,370 limited partnership interests as of March 8, 1999. Prior to August 8, 1997, the Partnership's managing general partner and the general partner of EMPL was Parkxx & Xarsley Development Xarsxxx Xxxelopment L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Xarsley Petroleum Company ("Parkxx & XarsleyXarsxxx"). On August 7, 1997, Parkxx & Xarsxxx xxx Xarsley and Mesa Inc. received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership and the general partner of EMPL as PPDLP's successor by merger. The Partnership engages primarily in oil and gas development and production in Texas and is not involved in any industry segment other than oil and gas.
Appears in 1 contract
Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
Notes to Financial Statements. 16 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8690-AB Conv., Ltd. L.P. (A Texas Delaware Limited Partnership): We have audited the balance sheet of Parker & Parsley 8690-AB Conv., Ltd. L.P. as of December 31, 1998, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8690-AB Conv., Ltd. L.P. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8690-AB Conv., Ltd. L.P. (A Texas Delaware Limited Partnership): We have audited the financial statements of Parker & Parsley 8690-AB Conv., Ltd. L.P. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8690-AB Conv., Ltd. L.P. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 PARKER & PARSLEY 8690-AB CONV., LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- Current assets: Cash...................................................... $ 58,223 76,330 $ 118,873 118,712 Accounts receivable -- oil and gas sales.................. 47,579 79,774 83,807 126,770 ----------- ----------- Total current assets.............................. 105,802 198,647 160,137 245,482 ----------- ----------- Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 9,600,469 9,582,125 Accumulated depletion....................................... (6,577,7907,703,198) (6,293,6057,100,097) ----------- ----------- Net oil and gas properties........................ 540,422 801,777 1,897,271 2,482,028 ----------- ----------- $ 646,224 2,057,408 $ 1,000,424 2,727,510 =========== =========== LIABILITIES AND PARTNERS' CAPITAL Current Liabilitiesliabilities: Accounts payable -- affiliate............................. $ 11,837 22,740 $ 21,145 34,538 Partners' capital: Managing general partner.................................. 5,038 8,487 20,346 26,929 Limited partners (10,131 11,897 interests)....................... 629,349 970,792 2,014,322 2,666,043 ----------- ----------- 634,387 979,279 2,034,668 2,692,972 ----------- ----------- $ 646,224 2,057,408 $ 1,000,424 2,727,510 =========== =========== The accompanying notes are an integral part of these financial statements. 12 148 PARKXX & XARSXXX 00-AB CONV., LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- ---------- ---------- ---------- Revenues: Oil and gas............................................ $ 415,842 $ 605,964 $ 843,204 764,787 $1,118,628 $1,382,265 Interest............................................... 4,764 8,432 15,409 Litigation settlement.................................. -- -- 290,690 6,937 8,651 7,865 Gain on disposition of assets.......................... 1,669 -- -- 175,662 --------- 2,401 ---------- ---------- 420,606 614,396 1,324,965 --------- ---------- 773,393 1,127,279 1,392,531 ---------- ---------- ---------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 517,526 534,097 523,763 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 26,722 37,876 41,920 Impairment of oil and gas properties................... 23,593 496,887 -- --------- 275,430 328,594 22,474 Depletion.............................................. 327,671 281,903 259,455 ---------- ---------- 669,121 1,082,123 583,194 --------- ---------- 1,147,349 1,182,470 847,612 ---------- ---------- ---------- Net income (loss)........................................ $$ (248,515373,956) $ (467,72755,191) $ 741,771 544,919 ========== ========== ========== Allocation of net income (loss): Managing general partner............................... $ (2,4853,740) $ (4,677552) $ 7,417 5,449 ========== ========== ========== Limited partners....................................... $$ (246,030370,216) $ (463,05054,639) $ 734,354 539,470 ========== ========== ========== Net income (loss) per limited partnership interest....... $ (24.2831.12) $ (45.714.59) $ 72.49 45.35 ========== ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 8690-AB CONV., LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... $18,230 35,082 $1,935,262 3,473,154 $1,953,492 3,508,236 Distributions............................................ (9,6756,755) (957,779668,764) (967,454675,519) Net income............................................... 7,417 734,354 741,771 5,449 539,470 544,919 ------- ---------- ---------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 33,776 3,343,860 3,377,636 Distributions............................................ (2,8086,295) (277,995623,178) (280,803629,473) Net loss................................................. (4,677552) (463,05054,639) (467,72755,191) ------- ---------- ---------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 26,929 2,666,043 2,692,972 Distributions............................................ (9642,843) (95,413281,505) (96,377284,348) Net loss................................................. (2,4853,740) (246,030370,216) (248,515373,956) ------- ---------- ---------- Partners' capital at December 31, 1998..................... $ 5,038 $ 629,349 $ 634,387 $20,346 $2,014,322 $2,034,668 ======= ========== ========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00-AB CONV., LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- Cash flows from operating activities: Net income (loss)....................................... $(248,515) $(467,727) $ 741,771 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Impairment of oil and gas properties................. 23,593 496,887 -- Depletion............................................ 260,592 162,452 156,510 Gain on disposition of assets........................ -- -- (175,662) Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 (15,109) Accounts payable..................................... (9,308) (56,226) 13,835 --------- --------- --------- Net cash provided by operating activities....... 58,557 177,506 721,345 --------- --------- --------- Cash flows from investing activities: Additions to oil and gas properties..................... (22,830) (9,969) (2,820) Proceeds from asset dispositions........................ -- -- 414,443 --------- --------- --------- Net cash provided by (used in) investing activities.................................... (22,830) (9,969) 411,623 --------- --------- --------- Cash flows from financing activities: Cash distributions to partners.......................... (96,377) (280,803) (967,454) --------- --------- --------- Net increase (decrease) in cash........................... (60,650) (113,266) 165,514 Cash at beginning of year................................. 118,873 232,139 66,625 --------- --------- --------- Cash at end of year....................................... $ 58,223 $ 118,873 $ 232,139 ========= ========= ========= The accompanying notes are an integral part of these financial statements. 15 151 PARKXX & XARSLEY 86-A, LTD. (A TEXAS LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00-A, Ltd. (the "Partnership") is a limited partnership organized in 1986 under the laws of the State of Texas. As of August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership. Prior to August 8, 1997, the Partnership's managing general partner was Parkxx & Xarsley Development L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Company ("Parkxx & Xarsley"). On August 7, 1997, Parkxx & Xarsxxx xxx Mesa Inc. received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership as PPDLP's successor by merger. The Partnership engages primarily in oil and gas development and production in Texas and is not involved in any industry segment other than oil and gas.
Appears in 1 contract
Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
Notes to Financial Statements. 16 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 86Producing Properties 87-AB, Ltd. (A Texas Limited Partnership): We have audited the balance sheet of Parker & Parsley 86Producing Properties 87-AB, Ltd. as of December 31, 1998, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 86Producing Properties 87-AB, Ltd. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 86Producing Properties 87-AB, Ltd. (A Texas Limited Partnership): We have audited the financial statements of Parker & Parsley 86Producing Properties 87-AB, Ltd. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker Parkxx & Parsley 86Xarsxxx Xxxducing Properties 87-AB, Ltd. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 PARKER PARKXX & PARSLEY 86XARSLEY PRODUCING PROPERTIES 87-AB, LTD. (A TEXAS LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- Current assets: Cash...................................................... $ 58,223 9,859 $ 118,873 74,883 Accounts receivable -- oil and gas sales.................. 47,579 79,774 89,569 157,903 Accounts receivable -- affiliate.......................... 3,287 -- ----------- ----------- Total current assets.............................. 105,802 198,647 102,715 232,786 ----------- ----------- Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 4,835,768 4,827,151 Accumulated depletion....................................... (6,577,7904,060,082) (6,293,6053,818,776) ----------- ----------- Net oil and gas properties........................ 540,422 801,777 775,686 1,008,375 ----------- ----------- $ 646,224 878,401 $ 1,000,424 1,241,161 =========== =========== LIABILITIES AND PARTNERS' CAPITAL Current Liabilitiesliabilities: Accounts payable -- affiliate............................. $ 11,837 -- $ 21,145 42,242 Partners' capital: Managing general partner.................................. 5,038 8,487 8,983 11,934 Limited partners (10,131 12,191 interests)....................... 629,349 970,792 869,418 1,186,985 ----------- ----------- 634,387 979,279 878,401 1,198,919 ----------- ----------- $ 646,224 878,401 $ 1,000,424 1,241,161 =========== =========== The accompanying notes are an integral part of these financial statements. 12 148 PARKXX & XARSXXX 00XXXDUCING PROPERTIES 87-AB, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- ---------- ---------- -------- Revenues: Oil and gas............................................ .............................................. $ 415,842 532,606 $ 605,964 $ 843,204 846,163 $980,232 Interest............................................... 4,764 8,432 15,409 Litigation settlement.................................. -- -- 290,690 ................................................. 4,078 6,017 4,409 Gain (loss) on disposition of assets.......................... -- -- 175,662 ..................... 4,248 13,626 (1,162) --------- ---------- ---------- 420,606 614,396 1,324,965 -------- 540,932 865,806 983,479 --------- ---------- ---------- -------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 ................................... 385,648 407,313 457,850 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 ............................... 15,978 27,969 31,991 Impairment of oil and gas properties................... 23,593 496,887 -- ..................... 35,017 317,255 42,277 Depletion................................................ 206,289 230,739 146,246 Abandoned property....................................... 16,738 24,969 1,735 --------- ---------- ---------- 669,121 1,082,123 583,194 -------- 659,670 1,008,245 680,099 --------- ---------- ---------- -------- Net income (loss)........................................ .......................................... $(248,515118,738) $ (467,727142,439) $ 741,771 $303,380 ========= ========== ========== Allocation of net income (loss): Managing general partner............................... ................................. $ (2,4851,187) $ (4,6771,424) $ 7,417 3,034 ========= ========== ========== Limited partners....................................... ......................................... $(246,030117,551) $ (463,050141,015) $ 734,354 $300,346 ========= ========== ========== Net income (loss) per limited partnership interest....... ......... $ (24.289.64) $ (45.7111.57) $ 72.49 24.64 ========= ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 86PRODUCING PROPERTIES 87-AB, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... $18,230 19,125 $1,935,262 1,939,382 $1,953,492 1,958,507 Distributions............................................ (9,6754,448) (957,779433,825) (967,454438,273) Net income............................................... 7,417 734,354 741,771 3,034 300,346 303,380 ------- ---------- ---------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 17,711 1,805,903 1,823,614 Distributions............................................ (2,8084,353) (277,995477,903) (280,803482,256) Net loss................................................. (4,6771,424) (463,050141,015) (467,727142,439) ------- ---------- ---------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 11,934 1,186,985 1,198,919 Distributions............................................ (9641,764) (95,413200,016) (96,377201,780) Net loss................................................. (2,4851,187) (246,030117,551) (248,515118,738) ------- ---------- ---------- Partners' capital at December 31, 1998..................... $ 5,038 8,983 $ 629,349 869,418 $ 634,387 878,401 ======= ========== ========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00XXXDUCING PROPERTIES 87-AB, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- Cash flows from operating activities: Net income (loss)....................................... $(248,515) $(467,727) $ 741,771 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Impairment of oil and gas properties................. 23,593 496,887 -- Depletion............................................ 260,592 162,452 156,510 Gain on disposition of assets........................ -- -- (175,662) Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 (15,109) Accounts payable..................................... (9,308) (56,226) 13,835 --------- --------- --------- Net cash provided by operating activities....... 58,557 177,506 721,345 --------- --------- --------- Cash flows from investing activities: Additions to oil and gas properties..................... (22,830) (9,969) (2,820) Proceeds from asset dispositions........................ -- -- 414,443 --------- --------- --------- Net cash provided by (used in) investing activities.................................... (22,830) (9,969) 411,623 --------- --------- --------- Cash flows from financing activities: Cash distributions to partners.......................... (96,377) (280,803) (967,454) --------- --------- --------- Net increase (decrease) in cash........................... (60,650) (113,266) 165,514 Cash at beginning of year................................. 118,873 232,139 66,625 --------- --------- --------- Cash at end of year....................................... $ 58,223 $ 118,873 $ 232,139 ========= ========= ========= The accompanying notes are an integral part of these financial statements. 15 151 PARKXX & XARSLEY 86-A, LTD. (A TEXAS LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00-A, Ltd. (the "Partnership") is a limited partnership organized in 1986 under the laws of the State of Texas. As of August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership. Prior to August 8, 1997, the Partnership's managing general partner was Parkxx & Xarsley Development L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Company ("Parkxx & Xarsley"). On August 7, 1997, Parkxx & Xarsxxx xxx Mesa Inc. received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership as PPDLP's successor by merger. The Partnership engages primarily in oil and gas development and production in Texas and is not involved in any industry segment other than oil and gas.
Appears in 1 contract
Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
Notes to Financial Statements. 16 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8691-AB, Ltd. L.P. (A Texas Delaware Limited Partnership): We have audited the balance sheet of Parker & Parsley 8691-AB, Ltd. L.P. as of December 31, 1998, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8691-AB, Ltd. L.P. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8691-AB, Ltd. L.P. (A Texas Delaware Limited Partnership): We have audited the financial statements of Parker & Parsley 8691-AB, Ltd. L.P. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8691-AB, Ltd. L.P. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 PARKER & PARSLEY 8691-AB, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- Current assets: Cash...................................................... $ 58,223 165,231 $ 118,873 200,122 Accounts receivable -- oil and gas sales.................. 47,579 79,774 97,159 136,917 ----------- ----------- Total current assets.............................. 105,802 198,647 262,390 337,039 ----------- ----------- Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 .............................. 9,728,987 9,704,606 Accumulated depletion....................................... ..................................... (6,577,7908,171,041) (6,293,6057,616,837) ----------- ----------- Net oil and gas properties........................ 540,422 801,777 1,557,946 2,087,769 ----------- ----------- $ 646,224 1,820,336 $ 1,000,424 2,424,808 =========== =========== LIABILITIES AND PARTNERS' CAPITAL Current Liabilitiesliabilities: Accounts payable -- affiliate............................. $ 11,837 18,255 $ 21,145 27,110 Partners' capital: Managing general partner.................................. 5,038 8,487 14,988 20,944 Limited partners (10,131 11,249 interests)....................... 629,349 970,792 1,787,093 2,376,754 ----------- ----------- 634,387 979,279 1,802,081 2,397,698 ----------- ----------- $ 646,224 1,820,336 $ 1,000,424 2,424,808 =========== =========== The accompanying notes are an integral part of these financial statements. 12 148 PARKXX & XARSXXX 00-AB, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- ---------- ---------- ---------- Revenues: Oil and gas............................................ $ 415,842 $ 605,964 $ 843,204 Interest............................................... 4,764 8,432 15,409 Litigation settlement.................................. -- -- 290,690 873,012 $1,273,373 $1,632,595 Interest and other..................................... 11,185 13,542 13,546 Gain (loss) on disposition of assets.......................... -- -- 175,662 --------- ................... 197 7,879 (1,221) ---------- ---------- 420,606 614,396 1,324,965 --------- ---------- 884,394 1,294,794 1,644,920 ---------- ---------- ---------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 464,489 524,112 471,736 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 43,606 39,082 47,177 Impairment of oil and gas properties................... 23,593 496,887 295,542 323,078 -- --------- Depletion.............................................. 258,662 185,792 201,563 Abandoned property..................................... -- -- 442 ---------- ---------- 669,121 1,082,123 583,194 --------- ---------- 1,062,299 1,072,064 720,918 ---------- ---------- ---------- Net income (loss)........................................ $$ (248,515177,905) $ (467,727) 222,730 $ 741,771 924,002 ========== ========== ========== Allocation of net income (loss): Managing general partner............................... $ (2,4851,779) $ (4,677) 2,227 $ 7,417 9,240 ========== ========== ========== Limited partners....................................... $$ (246,030176,126) $ (463,050) 220,503 $ 734,354 914,762 ========== ========== ========== Net income (loss) per limited partnership interest....... $ (24.2815.66) $ (45.71) 19.60 $ 72.49 81.32 ========== ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 8691-AB, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... $18,230 27,625 $1,935,262 3,038,195 $1,953,492 3,065,820 Distributions............................................ (9,6759,590) (957,779949,416) (967,454959,006) Net income............................................... 7,417 734,354 741,771 9,240 914,762 924,002 ------- ---------- ---------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 27,275 3,003,541 3,030,816 Distributions............................................ (2,8088,558) (277,995847,290) (280,803855,848) Net loss................................................. (4,677) (463,050) (467,727) income............................................... 2,227 220,503 222,730 ------- ---------- ---------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 20,944 2,376,754 2,397,698 Distributions............................................ (9644,177) (95,413413,535) (96,377417,712) Net loss................................................. (2,4851,779) (246,030176,126) (248,515177,905) ------- ---------- ---------- Partners' capital at December 31, 1998..................... $ 5,038 $ 629,349 $ 634,387 $14,988 $1,787,093 $1,802,081 ======= ========== ========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00-AB, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- Cash flows from operating activities: Net income (loss)....................................... $(248,515) $(467,727) $ 741,771 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Impairment of oil and gas properties................. 23,593 496,887 -- Depletion............................................ 260,592 162,452 156,510 Gain on disposition of assets........................ -- -- (175,662) Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 (15,109) Accounts payable..................................... (9,308) (56,226) 13,835 --------- --------- --------- Net cash provided by operating activities....... 58,557 177,506 721,345 --------- --------- --------- Cash flows from investing activities: Additions to oil and gas properties..................... (22,830) (9,969) (2,820) Proceeds from asset dispositions........................ -- -- 414,443 --------- --------- --------- Net cash provided by (used in) investing activities.................................... (22,830) (9,969) 411,623 --------- --------- --------- Cash flows from financing activities: Cash distributions to partners.......................... (96,377) (280,803) (967,454) --------- --------- --------- Net increase (decrease) in cash........................... (60,650) (113,266) 165,514 Cash at beginning of year................................. 118,873 232,139 66,625 --------- --------- --------- Cash at end of year....................................... $ 58,223 $ 118,873 $ 232,139 ========= ========= ========= The accompanying notes are an integral part of these financial statements. 15 151 PARKXX & XARSLEY 86-A, LTD. (A TEXAS LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00-A, Ltd. (the "Partnership") is a limited partnership organized in 1986 under the laws of the State of Texas. As of August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership. Prior to August 8, 1997, the Partnership's managing general partner was Parkxx & Xarsley Development L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Company ("Parkxx & Xarsley"). On August 7, 1997, Parkxx & Xarsxxx xxx Mesa Inc. received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership as PPDLP's successor by merger. The Partnership engages primarily in oil and gas development and production in Texas and is not involved in any industry segment other than oil and gas.
Appears in 1 contract
Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
Notes to Financial Statements. 16 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8683-A, Ltd. (A Texas Limited Partnership): We have audited the balance sheet of Parker & Parsley 8683-A, Ltd. as of December 31, 1998, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8683-A, Ltd. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8683-A, Ltd. (A Texas Limited Partnership): We have audited the financial statements of Parker & Parsley 8683-A, Ltd. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker Parkxx & Parsley 86Xarsxxx 00-A, Ltd. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 PARKER PARKXX & PARSLEY 86XARSLEY 83-A, LTD. (A TEXAS LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- ------------ ------------ Current assets: Cash...................................................... $ 58,223 94,700 $ 118,873 173,276 Accounts receivable -- oil receivable: Oil and gas sales.................. 47,579 79,774 ----------- ----------- ...................................... 101,658 141,577 Other.................................................. -- 268,137 ------------ ------------ Total current assets.............................. 105,802 198,647 ----------- ----------- 196,358 582,990 ------------ ------------ Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 16,884,175 16,869,232 Accumulated depletion....................................... (6,577,79015,388,824) (6,293,60514,437,106) ----------- ----------- ------------ ------------ Net oil and gas properties........................ 540,422 801,777 ----------- ----------- 1,495,351 2,432,126 ------------ ------------ $ 646,224 1,691,709 $ 1,000,424 3,015,116 ============ ============ LIABILITIES AND PARTNERS' CAPITAL Current Liabilities: Accounts payable -- affiliate............................. $ 11,837 23,407 $ 21,145 38,648 Partners' capital: Managing general partner.................................. 5,038 8,487 General partners.......................................... 164,245 336,024 Limited partners (10,131 19,505 interests)....................... 629,349 970,792 ----------- ----------- 634,387 979,279 ----------- ----------- 1,504,057 2,640,444 ------------ ------------ 1,668,302 2,976,468 ------------ ------------ $ 646,224 1,691,709 $ 1,000,424 3,015,116 ============ ============ The accompanying notes are an integral part of these financial statements. 12 148 PARKXX & XARSXXX 00-A, LTD. LTD (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- ---------- ---------- ---------- Revenues: Oil and gas............................................ $ 415,842 $ 605,964 $ 843,204 910,252 $1,402,306 $1,768,325 Interest............................................... 4,764 8,432 15,409 Litigation settlement.................................. -- -- 290,690 17,186 11,539 18,988 Gain on disposition of assets.......................... 3,702 194,795 932 Litigation settlement.................................. -- -- 175,662 --------- 852,211 ---------- ---------- 420,606 614,396 1,324,965 --------- ---------- 931,140 1,608,640 2,640,456 ---------- ---------- ---------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 731,005 848,492 784,014 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 33,000 52,167 61,613 Impairment of oil and gas properties................... 23,593 496,887 430,351 1,194,023 -- --------- Depletion.............................................. 521,367 325,600 311,568 ---------- ---------- 669,121 1,082,123 583,194 --------- ---------- 1,715,723 2,420,282 1,157,195 ---------- ---------- ---------- Net income (loss)........................................ $$ (248,515784,583) $ (467,727811,642) $ 741,771 $1,483,261 ========== ========== ========== Allocation of net income (loss): Managing general partner............................... General partners....................................... $ (2,48552,520) $ (4,6771,662) $ 7,417 389,185 ========== ========== ========== Limited partners....................................... $$ (246,030732,063) $ (463,050809,980) $ 734,354 $1,094,076 ========== ========== ========== Net income (loss) per limited partnership interest....... $ (24.2837.53) $ (45.7141.53) $ 72.49 56.09 ========== ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 8683-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS PARTNERS TOTAL -------- ---------- ---------- --------- ----------- ----------- Partners' capital at January 1, 1996....................... $18,230 $1,935,262 $1,953,492 ................... $ 498,847 $ 4,252,851 $ 4,751,698 Distributions............................................ ........................................ (9,675395,865) (957,7791,418,629) (967,4541,814,494) Net income............................................... 7,417 734,354 741,771 ------- ---------- ---------- ........................................... 389,185 1,094,076 1,483,261 --------- ----------- ----------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 ................. 492,167 3,928,298 4,420,465 Distributions............................................ ........................................ (2,808154,481) (277,995477,874) (280,803632,355) Net loss................................................. ............................................. (4,6771,662) (463,050809,980) (467,727811,642) ------- ---------- ---------- --------- ----------- ----------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 ................. 336,024 2,640,444 2,976,468 Distributions............................................ ........................................ (964119,259) (95,413404,324) (96,377523,583) Net loss................................................. ............................................. (2,48552,520) (246,030732,063) (248,515784,583) ------- ---------- ---------- --------- ----------- ----------- Partners' capital at December 31, 1998..................... ................. $ 5,038 164,245 $ 629,349 1,504,057 $ 634,387 1,668,302 ========= =========== =========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- ---------- ----------- Cash flows from operating activities: Net income (loss)....................................... ..................................... $(248,515) $(467,727784,583) $ 741,771 (811,642) $ 1,483,261 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Impairment of oil and gas properties................. 23,593 496,887 ............... 430,351 1,194,023 -- Depletion............................................ 260,592 162,452 156,510 .......................................... 521,367 325,600 311,568 Gain on disposition of assets........................ -- -- ...................... (175,6623,702) (194,795) (932) Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 ................................ 39,919 (15,109138,714) (107,980) Accounts payable..................................... ................................... (9,30815,241) (56,226159) 13,835 (75,160) --------- --------- --------- ---------- ----------- Net cash provided by operating activities....... 58,557 177,506 721,345 ..... 188,111 374,313 1,610,757 --------- --------- --------- ---------- ----------- Cash flows from investing activities: Additions to oil and gas properties..................... ................... (22,83014,943) (9,9698,483) (2,8203,311) Proceeds from asset dispositions........................ -- -- 414,443 ...................... 271,839 268,137 932 --------- --------- --------- ---------- ----------- Net cash provided by (used in) investing activities.................................... .................................. 256,896 259,654 (22,8302,379) (9,969) 411,623 --------- --------- --------- ---------- ----------- Cash flows from financing activities: Cash distributions to partners.......................... ........................ (96,377523,583) (280,803632,355) (967,4541,814,494) --------- --------- --------- ---------- ----------- Net increase (decrease) in cash........................... ......................... (60,65078,576) 1,612 (113,266206,116) 165,514 Cash at beginning of year................................. 118,873 232,139 66,625 ............................... 173,276 171,664 377,780 --------- --------- --------- ---------- ----------- Cash at end of year....................................... ..................................... $ 58,223 94,700 $ 118,873 173,276 $ 232,139 171,664 ========= ========== =========== The accompanying notes are an integral part of these financial statements. 15 151 PARKXX & XARSLEY 8683-A, A LTD. (A TEXAS LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00-A, Ltd. (the "Partnership") is a limited partnership organized in 1986 1983 under the laws of the State of Texas. As of On August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership, joining the existing general partner, P&P Employees 83-A, Ltd. ("EMPL"), a Texas limited partnership whose general partner is Pioneer USA, and 19,505 limited partnership interests as of March 8, 1999. Prior to August 8, 1997, the Partnership's managing general partner and the general partner of EMPL was Parkxx & Xarsley Development L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Company ("Parkxx & Xarsley"). On August 7, 1997, Parkxx & Xarsxxx xxx Mesa Inc. received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership and the general partner of EMPL as PPDLPPioneer USA's successor by merger. The Partnership engages primarily in oil and gas development and production in Texas and is not involved in any industry segment other than oil and gas.
Appears in 1 contract
Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
Notes to Financial Statements. 16 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8689-A, Ltd. L.P. (A Texas Delaware Limited Partnership): We have audited the balance sheet of Parker & Parsley 8689-A, Ltd. L.P. as of December 31, 1998, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8689-A, Ltd. L.P. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8689-A, Ltd. L.P. (A Texas Delaware Limited Partnership): We have audited the financial statements of Parker & Parsley 8689-A, Ltd. L.P. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8689-A, Ltd. L.P. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 PARKER & PARSLEY 8689-A, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- Current assets: Cash...................................................... $ 58,223 117,381 $ 118,873 167,674 Accounts receivable -- oil and gas sales.................. 47,579 79,774 65,380 83,558 ----------- ----------- Total current assets.............................. 105,802 198,647 182,761 251,232 ----------- ----------- Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 6,540,053 6,523,134 Accumulated depletion....................................... (6,577,7905,330,375) (6,293,6054,675,235) ----------- ----------- Net oil and gas properties........................ 540,422 801,777 1,209,678 1,847,899 ----------- ----------- $ 646,224 1,392,439 $ 1,000,424 2,099,131 =========== =========== LIABILITIES AND PARTNERS' CAPITAL Current Liabilitiesliabilities: Accounts payable -- affiliate............................. $ 11,837 4,246 $ 21,145 26,178 Partners' capital: Managing general partner.................................. 5,038 8,487 14,075 20,922 Limited partners (10,131 8,317 interests)....................... 629,349 970,792 ........................ 1,374,118 2,052,031 ----------- ----------- 634,387 979,279 1,388,193 2,072,953 ----------- ----------- $ 646,224 1,392,439 $ 1,000,424 2,099,131 =========== =========== The accompanying notes are an integral part of these financial statements. 12 148 PARKXX & XARSXXX 00-A, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- ---------- ---------- ---------- Revenues: Oil and gas............................................ $ 415,842 583,396 $ 605,964 $ 843,204 856,926 $1,132,944 Interest............................................... 4,764 8,432 15,409 Litigation settlement.................................. -- -- 290,690 8,112 10,299 9,787 Gain on disposition of assets.......................... 1,926 22,957 -- -- 175,662 --------- ---------- ---------- 420,606 614,396 1,324,965 --------- ---------- 593,434 890,182 1,142,731 ---------- ---------- ---------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 362,377 405,273 423,914 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 20,635 29,451 36,092 Impairment of oil and gas properties................... 23,593 496,887 306,826 531,929 -- --------- Depletion.............................................. 348,314 182,263 194,706 Abandonments........................................... -- 10,629 -- ---------- ---------- 669,121 1,082,123 583,194 --------- ---------- 1,038,152 1,159,545 654,712 ---------- ---------- ---------- Net income (loss)........................................ $$ (248,515444,718) $ (467,727269,363) $ 741,771 488,019 ========== ========== ========== Allocation of net income (loss): Managing general partner............................... $ (2,4854,447) $ (4,6772,693) $ 7,417 4,880 ========== ========== ========== Limited partners....................................... $$ (246,030440,271) $ (463,050266,670) $ 734,354 483,139 ========== ========== ========== Net income (loss) per limited partnership interest....... $ (24.2852.94) $ (45.7132.06) $ 72.49 58.09 ========== ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 8689-A, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... $18,230 29,786 $1,935,262 2,929,323 $1,953,492 2,959,109 Distributions............................................ (9,6755,793) (957,779573,201) (967,454578,994) Net income............................................... 7,417 734,354 741,771 4,880 483,139 488,019 ------- ---------- ---------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 28,873 2,839,261 2,868,134 Distributions............................................ (2,8085,258) (277,995520,560) (280,803525,818) Net loss................................................. (4,6772,693) (463,050266,670) (467,727269,363) ------- ---------- ---------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 20,922 2,052,031 2,072,953 Distributions............................................ (9642,400) (95,413237,642) (96,377240,042) Net loss................................................. (2,4854,447) (246,030440,271) (248,515444,718) ------- ---------- ---------- Partners' capital at December 31, 1998..................... $ 5,038 $ 629,349 $ 634,387 $14,075 $1,374,118 $1,388,193 ======= ========== ========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00-A, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- Cash flows from operating activities: Net income (loss)....................................... $(248,515444,718) $(467,727269,363) $ 741,771 488,019 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Impairment of oil and gas properties................. 23,593 496,887 306,826 531,929 -- Depletion............................................ 260,592 162,452 156,510 348,314 182,263 194,706 Gain on disposition of assets........................ (1,926) (22,957) -- -- (175,662) Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 18,178 86,746 (15,10974,358) Accounts payable..................................... (9,3089,135) 3,572 (56,22639,485) 13,835 --------- --------- --------- Net cash provided by operating activities....... 58,557 177,506 721,345 217,539 512,190 568,882 --------- --------- --------- Cash flows from investing activities: Additions to oil and gas properties..................... (22,83029,716) (9,96914,108) (2,820) -- Proceeds from asset dispositions........................ -- -- 414,443 disposition of assets..................... 1,926 32,539 2,842 --------- --------- --------- Net cash provided by (used in) investing activities.................................... (22,83027,790) (9,969) 411,623 18,431 2,842 --------- --------- --------- Cash flows from financing activities: Cash distributions to partners.......................... (96,377240,042) (280,803525,818) (967,454578,994) --------- --------- --------- Net increase (decrease) in cash........................... (60,65050,293) 4,803 (113,2667,270) 165,514 Cash at beginning of year................................. 118,873 232,139 66,625 167,674 162,871 170,141 --------- --------- --------- Cash at end of year....................................... $ 58,223 117,381 $ 118,873 167,674 $ 232,139 162,871 ========= ========= ========= The accompanying notes are an integral part of these financial statements. 15 151 PARKXX & XARSLEY 8689-A, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00-A, Ltd. L.P. (the "Partnership") is a limited partnership organized in 1986 1989 under the laws of the State of TexasDelaware. As of August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership. Prior to August 8, 1997, the Partnership's managing general partner was Parkxx & Xarsley Development L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Company ("Parkxx & Xarsley"). On August 7, 1997, Parkxx & Xarsxxx xxx Mesa Inc. received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership as PPDLP's successor by merger. The Partnership engages primarily in oil and gas development and production in Texas and is not involved in any industry segment other than oil and gas.
Appears in 1 contract
Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
Notes to Financial Statements. 16 9 145 15 8 144 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8691-A, Ltd. L.P. (A Texas Delaware Limited Partnership): We have audited the balance sheet of Parker & Parsley 8691-A, Ltd. L.P. as of December 31, 1998, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8691-A, Ltd. L.P. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8691-A, Ltd. L.P. (A Texas Delaware Limited Partnership): We have audited the financial statements of Parker & Parsley 8691-A, Ltd. L.P. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8691-A, Ltd. L.P. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 10 146 PARKER & PARSLEY 8691-A, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- Current assets: Cash...................................................... $ 58,223 158,378 $ 118,873 181,103 Accounts receivable -- oil and gas sales.................. 47,579 79,774 111,524 165,842 ----------- ----------- Total current assets.............................. 105,802 198,647 269,902 346,945 ----------- ----------- Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 9,678,161 9,668,484 Accumulated depletion....................................... (6,577,7907,280,260) (6,293,6056,612,883) ----------- ----------- Net oil and gas properties........................ 540,422 801,777 2,397,901 3,055,601 ----------- ----------- $ 646,224 2,667,803 $ 1,000,424 3,402,546 =========== =========== LIABILITIES AND PARTNERS' CAPITAL Current Liabilitiesliabilities: Accounts payable -- affiliate............................. $ 11,837 14,062 $ 21,145 36,621 Partners' capital: Managing general partner.................................. 5,038 8,487 26,581 33,702 Limited partners (10,131 11,620 interests)....................... 629,349 970,792 2,627,160 3,332,223 ----------- ----------- 634,387 979,279 2,653,741 3,365,925 ----------- ----------- $ 646,224 2,667,803 $ 1,000,424 3,402,546 =========== =========== The accompanying notes are an integral part of these financial statements. 12 148 11 147 PARKXX & XARSXXX 00-A, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- ---------- ---------- ---------- Revenues: Oil and gas............................................ $ 415,842 $ 605,964 $ 843,204 955,645 $1,411,247 $1,629,975 Interest............................................... 4,764 8,432 15,409 Litigation settlement.................................. -- -- 290,690 11,026 14,541 11,172 Gain on disposition of assets.......................... -- -- 175,662 --------- 150 ---------- ---------- 420,606 614,396 1,324,965 --------- ---------- 966,671 1,425,788 1,641,297 ---------- ---------- ---------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 535,948 570,417 577,650 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 43,977 49,938 56,036 Impairment of oil and gas properties................... 23,593 496,887 306,043 485,158 -- --------- Depletion.............................................. 361,334 327,304 353,557 ---------- ---------- 669,121 1,082,123 583,194 --------- ---------- 1,247,302 1,432,817 987,243 ---------- ---------- ---------- Net income (loss)........................................ $$ (248,515280,631) $ (467,7277,029) $ 741,771 654,054 ========== ========== ========== Allocation of net income (loss): Managing general partner............................... $ (2,4852,806) $ (4,67770) $ 7,417 6,540 ========== ========== ========== Limited partners....................................... $$ (246,030277,825) $ (463,0506,959) $ 734,354 647,514 ========== ========== ========== Net income (loss) per limited partnership partners' interest....... ......... $ (24.2823.91) $ (45.71.60) $ 72.49 55.72 ========== ========== ========== The accompanying notes are an integral part of these financial statements. 12 148 PARKXX & XARSLEY 91-A, L.P. (A DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... $44,378 $4,389,079 $4,433,457 Distributions............................................ (8,330) (824,664) (832,994) Net income............................................... 6,540 647,514 654,054 ------- ---------- ---------- Partners' capital at December 31, 1996..................... 42,588 4,211,929 4,254,517 Distributions............................................ (8,816) (872,747) (881,563) Net loss................................................. (70) (6,959) (7,029) ------- ---------- ---------- Partners' capital at December 31, 1997..................... 33,702 3,332,223 3,365,925 Distributions............................................ (4,315) (427,238) (431,553) Net loss................................................. (2,806) (277,825) (280,631) ------- ---------- ---------- Partners' capital at December 31, 1998..................... $26,581 $2,627,160 $2,653,741 ======= ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 86-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... $18,230 $1,935,262 $1,953,492 Distributions............................................ (9,675) (957,779) (967,454) Net income............................................... 7,417 734,354 741,771 ------- ---------- ---------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 Distributions............................................ (2,808) (277,995) (280,803) Net loss................................................. (4,677) (463,050) (467,727) ------- ---------- ---------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 Distributions............................................ (964) (95,413) (96,377) Net loss................................................. (2,485) (246,030) (248,515) ------- ---------- ---------- Partners' capital at December 31, 1998..................... $ 5,038 $ 629,349 $ 634,387 ======= ========== ========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00-A, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- Cash flows from operating activities: Net income (loss)....................................... $(248,515) $(467,727) $ 741,771 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Impairment of oil and gas properties................. 23,593 496,887 -- Depletion............................................ 260,592 162,452 156,510 Gain on disposition of assets........................ -- -- (175,662) Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 (15,109) Accounts payable..................................... (9,308) (56,226) 13,835 --------- --------- --------- Net cash provided by operating activities....... 58,557 177,506 721,345 --------- --------- --------- Cash flows from investing activities: Additions to oil and gas properties..................... (22,830) (9,969) (2,820) Proceeds from asset dispositions........................ -- -- 414,443 --------- --------- --------- Net cash provided by (used in) investing activities.................................... (22,830) (9,969) 411,623 --------- --------- --------- Cash flows from financing activities: Cash distributions to partners.......................... (96,377) (280,803) (967,454) --------- --------- --------- Net increase (decrease) in cash........................... (60,650) (113,266) 165,514 Cash at beginning of year................................. 118,873 232,139 66,625 --------- --------- --------- Cash at end of year....................................... $ 58,223 $ 118,873 $ 232,139 ========= ========= ========= The accompanying notes are an integral part of these financial statements. 15 151 PARKXX & XARSLEY 86-A, LTD. (A TEXAS LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00-A, Ltd. (the "Partnership") is a limited partnership organized in 1986 under the laws of the State of Texas. As of August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership. Prior to August 8, 1997, the Partnership's managing general partner was Parkxx & Xarsley Development L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Company ("Parkxx & Xarsley"). On August 7, 1997, Parkxx & Xarsxxx xxx Mesa Inc. received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership as PPDLP's successor by merger. The Partnership engages primarily in oil and gas development and production in Texas and is not involved in any industry segment other than oil and gas.
Appears in 1 contract
Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
Notes to Financial Statements. 16 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 86Producing Properties 87-A, Ltd. (A Texas Limited Partnership): We have audited the balance sheet of Parker & Parsley 86Producing Properties 87-A, Ltd. as of December 31, 1998, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker Parkxx & Parsley 86Xarsxxx Xxxducing Properties 87-A, Ltd. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 INDEPENDENT AUDITORS' REPORT The Partners Parker Parkxx & Parsley 86Xarsxxx Xxxducing Properties 87-A, Ltd. (A Texas Limited Partnership): We have audited the financial statements of Parker Parkxx & Parsley 86Xarsley Producing Properties 87-A, Ltd. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker Parkxx & Parsley 86Xarsxxx Xxxducing Properties 87-A, Ltd. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 PARKER PARKXX & PARSLEY 86XARSLEY PRODUCING PROPERTIES 87-A, LTD. (A TEXAS LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- Current assets: Cash...................................................... $ 58,223 183,223 $ 118,873 219,515 Accounts receivable -- oil and gas sales.................. 47,579 79,774 115,182 210,508 ----------- ----------- Total current assets.............................. 105,802 198,647 298,405 430,023 ----------- ----------- Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 .............................. 5,871,539 6,060,618 Accumulated depletion....................................... ..................................... (6,577,7904,899,498) (6,293,6054,619,483) ----------- ----------- Net oil and gas properties........................ 540,422 801,777 972,041 1,441,135 ----------- ----------- $ 646,224 1,270,446 $ 1,000,424 1,871,158 =========== =========== LIABILITIES AND PARTNERS' CAPITAL Current Liabilitiesliabilities: Accounts payable -- affiliate............................. $ 11,837 33,013 $ 21,145 46,559 Partners' capital: Managing general partner.................................. 5,038 8,487 13,615 19,487 Limited partners (10,131 24,426 interests)....................... 629,349 970,792 1,223,818 1,805,112 ----------- ----------- 634,387 979,279 1,237,433 1,824,599 ----------- ----------- $ 646,224 1,270,446 $ 1,000,424 1,871,158 =========== =========== The accompanying notes are an integral part of these financial statements. 12 148 PARKXX & XARSXXX 00XXXDUCING PROPERTIES 87-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- ---------- ---------- ---------- Revenues: Oil and gas............................................ $ 415,842 $ 605,964 $ 843,204 807,421 $1,244,727 $1,772,612 Interest............................................... 4,764 8,432 15,409 13,353 19,187 19,789 Litigation settlement.................................. -- -- 290,690 19,935 Gain (loss) on disposition of assets.......................... -- -- 175,662 --------- ................... 24,040 (73,308) 406,876 ---------- ---------- 420,606 614,396 1,324,965 --------- ---------- 844,814 1,190,606 2,219,212 ---------- ---------- ---------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 682,634 886,475 900,861 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 24,223 42,687 58,525 Impairment of oil and gas properties................... 23,593 496,887 -- --------- 37,388 420,264 39,087 Depletion.............................................. 383,398 194,175 182,706 Abandoned property..................................... 74,653 44,302 53,156 ---------- ---------- 669,121 1,082,123 583,194 --------- ---------- 1,202,296 1,587,903 1,234,335 ---------- ---------- ---------- Net income (loss)........................................ $$ (248,515357,482) $ (467,727397,297) $ 741,771 984,877 ========== ========== ========== Allocation of net income (loss): Managing general partner............................... $ (2,4853,575) $ (4,6773,973) $ 7,417 9,849 ========== ========== ========== Limited partners....................................... $$ (246,030353,907) $ (463,050393,324) $ 734,354 975,028 ========== ========== ========== Net income (loss) per limited partnership interest....... $ (24.2814.49) $ (45.7116.10) $ 72.49 39.92 ========== ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 86PRODUCING PROPERTIES 87-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... $18,230 28,454 $1,935,262 2,692,822 $1,953,492 2,721,276 Distributions............................................ (9,6758,886) (957,779879,684) (967,454888,570) Net income............................................... 7,417 734,354 741,771 9,849 975,028 984,877 ------- ---------- ---------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 29,417 2,788,166 2,817,583 Distributions............................................ (2,8085,957) (277,995589,730) (280,803595,687) Net loss................................................. (4,6773,973) (463,050393,324) (467,727397,297) ------- ---------- ---------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 19,487 1,805,112 1,824,599 Distributions............................................ (9642,297) (95,413227,387) (96,377229,684) Net loss................................................. (2,4853,575) (246,030353,907) (248,515357,482) ------- ---------- ---------- Partners' capital at December 31, 1998..................... $ 5,038 $ 629,349 $ 634,387 $13,615 $1,223,818 $1,237,433 ======= ========== ========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00XXXDUCING PROPERTIES 87-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- Cash flows from operating activities: Net income (loss)....................................... $(248,515357,482) $(467,727397,297) $ 741,771 984,877 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Impairment of oil and gas properties................. 23,593 496,887 -- 37,388 420,264 39,087 Depletion............................................ 260,592 162,452 156,510 Gain 383,398 194,175 182,706 (Gain) loss on disposition of assets........................ -- -- ................. (175,66224,040) 73,308 (406,876) Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 95,326 155,826 (15,10994,936) Accounts payable..................................... (9,30813,546) (56,22622,108) 13,835 (144,265) --------- --------- --------- Net cash provided by operating activities....... 58,557 177,506 721,345 121,044 424,168 560,593 --------- --------- --------- Cash flows from investing activities: Additions to oil and gas properties..................... equipment...................... (22,83011,491) (9,9691,574) (2,820) -- Proceeds from asset dispositions........................ -- -- 414,443 disposition of assets..................... 83,839 65,165 521,840 --------- --------- --------- Net cash provided by (used in) investing activities.................................... (22,830) (9,969) 411,623 ....... 72,348 63,591 521,840 --------- --------- --------- Cash flows from financing activities: Cash distributions to partners.......................... (96,377229,684) (280,803595,687) (967,454888,570) --------- --------- --------- Net increase (decrease) in cash........................... (60,65036,292) (113,266107,928) 165,514 193,863 Cash at beginning of year................................. 118,873 232,139 66,625 219,515 327,443 133,580 --------- --------- --------- Cash at end of year....................................... $ 58,223 183,223 $ 118,873 219,515 $ 232,139 327,443 ========= ========= ========= The accompanying notes are an integral part of these financial statements. 15 151 PARKXX & XARSLEY 86PRODUCING PROPERTIES 87-A, LTD. (A TEXAS LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00Xxxducing Properties 87-A, Ltd. (the "Partnership") is a limited partnership organized in 1986 1987 under the laws of the State of Texas. As of August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership. Prior to August 8, 1997, the Partnership's managing general partner was Parkxx & Xarsley Development L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Company ("Parkxx & Xarsley"). On August 7, 1997, Parkxx & Xarsxxx xxx Mesa Inc. received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership as PPDLP's successor by merger. The Partnership engages primarily in oil and gas development and production in Texas and is not involved in any industry segment other than oil and gas.
Appears in 1 contract
Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
Notes to Financial Statements. 16 9 145 15 8 144 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8690-A, Ltd. L.P. (A Texas Delaware Limited Partnership): We have audited the balance sheet of Parker & Parsley 8690-A, Ltd. L.P. as of December 31, 1998, and the related statements of operations, partners' capital and cash flows for the year then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8690-A, Ltd. L.P. as of December 31, 1998, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. Ernst & Young LLP Dallas, Texas March 15, 1999 10 146 9 145 INDEPENDENT AUDITORS' REPORT The Partners Parker & Parsley 8690-A, Ltd. L.P. (A Texas Delaware Limited Partnership): We have audited the financial statements of Parker & Parsley 8690-A, Ltd. L.P. as of December 31, 1997, and the related statements of operations, partners' capital and cash flows for the years ended December 31, 1997 and 1996. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Parker & Parsley 8690-A, Ltd. L.P. as of December 31, 1997, and the results of its operations and its cash flows for the years ended December 31, 1997 and 1996, in conformity with generally accepted accounting principles. KPMG LLP Midland, Texas March 20, 1998 11 147 10 146 PARKER & PARSLEY 8690-A, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) BALANCE SHEETS DECEMBER 31 ASSETS 1998 1997 ----------- ----------- Current assets: Cash...................................................... $ 58,223 92,210 $ 118,873 116,510 Accounts receivable -- oil and gas sales.................. 47,579 79,774 50,121 87,628 ----------- ----------- Total current assets.............................. 105,802 198,647 142,331 204,138 ----------- ----------- Oil and gas properties -- at cost, based on the successful efforts accounting method................................. 7,118,212 7,095,382 5,076,345 5,067,298 Accumulated depletion....................................... (6,577,7903,832,899) (6,293,6053,637,375) ----------- ----------- Net oil and gas properties........................ 540,422 801,777 1,243,446 1,429,923 ----------- ----------- $ 646,224 1,385,777 $ 1,000,424 1,634,061 =========== =========== LIABILITIES AND PARTNERS' CAPITAL Current Liabilitiesliabilities: Accounts payable -- affiliate............................. $ 11,837 13,101 $ 21,145 21,290 Partners' capital: Managing general partner.................................. 5,038 8,487 13,808 16,209 Limited partners (10,131 6,811 interests)....................... 629,349 970,792 ........................ 1,358,868 1,596,562 ----------- ----------- 634,387 979,279 1,372,676 1,612,771 ----------- ----------- $ 646,224 1,385,777 $ 1,000,424 1,634,061 =========== =========== The accompanying notes are an integral part of these financial statements. 12 148 11 147 PARKXX & XARSXXX 00-A, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 -------- --------- ---------- ---------- -------- Revenues: Oil and gas............................................ ............................................... $441,480 $ 415,842 $ 605,964 $ 843,204 643,882 $777,677 Interest............................................... 4,764 8,432 15,409 Litigation settlement.................................. -- -- 290,690 Gain on disposition of assets.......................... -- -- 175,662 .................................................. 6,177 7,410 7,095 -------- --------- ---------- ---------- 420,606 614,396 1,324,965 -------- 447,657 651,292 784,772 -------- --------- ---------- ---------- -------- Costs and expenses: Oil and gas production................................. 372,460 403,137 401,388 .................................... 282,430 305,774 298,749 General and administrative............................. 12,476 19,647 25,296 Depletion.............................................. 260,592 162,452 156,510 ................................ 14,124 23,842 26,252 Impairment of oil and gas properties................... 23,593 496,887 ...................... 34,145 321,019 -- Depletion................................................. 161,379 150,605 169,844 Loss on disposition of assets............................. -- -- 28,717 -------- --------- ---------- ---------- 669,121 1,082,123 583,194 -------- 492,078 801,240 523,562 -------- --------- ---------- ---------- -------- Net income (loss)........................................ ........................................... $(248,51544,421) $ $(467,727149,948) $ 741,771 =$261,210 ======== ========== ========== Allocation of net income (loss): Managing general partner............................... .................................. $ (2,485444) $ (4,6771,499) $ 7,417 2,612 ======== ========= ========== ========== Limited partners....................................... .......................................... $(246,03043,977) $ $(463,050148,449) $ 734,354 =$258,598 ======== ========== ========== Net income (loss) per limited partnership interest....... .......... $ (24.286.46) $ (45.7121.80) $ 72.49 37.97 ======== ========= ======== The accompanying notes are an integral part of these financial statements. 12 148 PARKXX & XARSLEY 90-A, L.P. (A DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... $22,444 $2,213,917 $2,236,361 Distributions............................................ (3,698) (366,110) (369,808) Net income............................................... 2,612 258,598 261,210 ------- ---------- ---------- Partners' capital at December 31, 1996..................... 21,358 2,106,405 2,127,763 Distributions............................................ (3,650) (361,394) (365,044) Net loss................................................. (1,499) (148,449) (149,948) ------- ---------- ---------- Partners' capital at December 31, 1997..................... 16,209 1,596,562 1,612,771 Distributions............................................ (1,957) (193,717) (195,674) Net loss................................................. (444) (43,977) (44,421) ------- ---------- ---------- Partners' capital at December 31, 1998..................... $13,808 $1,358,868 $1,372,676 ======= ========== ========== The accompanying notes are an integral part of these financial statements. 13 149 PARKXX & XARSLEY 86-A, LTD. (A TEXAS LIMITED PARTNERSHIP) STATEMENTS OF PARTNERS' CAPITAL MANAGING GENERAL LIMITED PARTNER PARTNERS TOTAL -------- ---------- ---------- Partners' capital at January 1, 1996....................... $18,230 $1,935,262 $1,953,492 Distributions............................................ (9,675) (957,779) (967,454) Net income............................................... 7,417 734,354 741,771 ------- ---------- ---------- Partners' capital at December 31, 1996..................... 15,972 1,711,837 1,727,809 Distributions............................................ (2,808) (277,995) (280,803) Net loss................................................. (4,677) (463,050) (467,727) ------- ---------- ---------- Partners' capital at December 31, 1997..................... 8,487 970,792 979,279 Distributions............................................ (964) (95,413) (96,377) Net loss................................................. (2,485) (246,030) (248,515) ------- ---------- ---------- Partners' capital at December 31, 1998..................... $ 5,038 $ 629,349 $ 634,387 ======= ========== ========== The accompanying notes are an integral part of these financial statements. 14 150 PARKXX & XARSXXX 00-A, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31 1998 1997 1996 --------- --------- --------- Cash flows from operating activities: Net income (loss)....................................... $$ (248,51544,421) $(467,727149,948) $ 741,771 261,210 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Impairment of oil and gas properties................. 23,593 496,887 34,145 321,019 -- Depletion............................................ 260,592 162,452 156,510 Gain 161,379 150,605 169,844 Loss on disposition of assets........................ -- -- (175,662) 28,717 Changes in assets and liabilities: Accounts receivable.................................. 32,195 42,120 37,507 44,000 (15,10963,996) Accounts payable..................................... (9,3088,189) 2,555 (56,22622,583) 13,835 --------- --------- --------- Net cash provided by operating activities....... 58,557 177,506 721,345 180,421 368,231 373,192 --------- --------- --------- Cash flows from investing activities: Additions to oil and gas properties..................... (22,8309,047) (9,96914,202) (2,8201,425) Proceeds from asset dispositions........................ -- -- 414,443 6,815 --------- --------- --------- Net cash provided by (used in) investing activities.................................... (22,8309,047) (9,96914,202) 411,623 5,390 --------- --------- --------- Cash flows from financing activities: Cash distributions to partners.......................... (96,377195,674) (280,803365,044) (967,454369,808) --------- --------- --------- Net increase (decrease) in cash........................... (60,65024,300) (113,26611,015) 165,514 8,774 Cash at beginning of year................................. 118,873 232,139 66,625 116,510 127,525 118,751 --------- --------- --------- Cash at end of year....................................... $ 58,223 92,210 $ 118,873 116,510 $ 232,139 127,525 ========= ========= ========= The accompanying notes are an integral part of these financial statements. 15 151 14 150 PARKXX & XARSLEY 8690-A, LTD. L.P. (A TEXAS DELAWARE LIMITED PARTNERSHIP) NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998, 1997 AND 1996 NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS Parkxx & Xarsxxx 00-A, Ltd. L.P. (the "Partnership") is a limited partnership organized in 1986 1990 under the laws of the State of TexasDelaware. As of August 8, 1997, Pioneer Natural Resources USA, Inc. ("Pioneer USA") became the managing general partner of the Partnership. Prior to August 8, 1997, the Partnership's managing general partner was Parkxx & Xarsley Development L.P. ("PPDLP"), a wholly-owned subsidiary of Parkxx & Xarsxxx Xxxroleum Company ("Parkxx & Xarsley"). On August 7, 1997, Parkxx & Xarsxxx xxx Mesa Inc. received shareholder approval to merge and create Pioneer Natural Resources Company ("Pioneer"). On August 8, 1997, PPDLP was merged with and into Pioneer USA, a wholly-owned subsidiary of Pioneer, resulting in Pioneer USA becoming the managing general partner of the Partnership as PPDLP's successor by merger. The Partnership engages primarily in oil and gas development and production in the Spraxxxxx Xxxnd area of West Texas and is not involved in any industry segment other than oil and gas.
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Samples: Proxy Statement (Pioneer Natural Resources Usa Inc)
