DCP SOUTHEAST TEXAS HOLDINGS, GP
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)
Years Ended December 31, 2011, 2010 and 2009
The following tables represent, by commodity type, our net long or short positions that are expected to
partially or entirely settle in each respective year. To the extent that we have long dated derivative positions that
span multiple calendar years, the contract will appear in more than one line item in the table below.
Additionally, relative to the hedging of certain of our storage and/or transportation assets, we may execute basis
transactions for natural gas, which may result in a net long/short position of zero. This table also presents our
net long or short natural gas basis swap positions separately from our net long or short natural gas positions.
December 31, 2011
Natural Gas
Natural Gas
Basis Swaps
Year of Expiration
Net Long
(Short)
Position
(MMBtu)
Net Long
(Short)
Position
(MMBtu)
2013 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,000,000 —
December 31, 2010
Natural Gas
Natural
Gas Basis
Swaps
Year of Expiration
Net Long
(Short)
Position
(MMBtu)
Net Long
(Short)
Position
(MMBtu)
2011 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (7,272,500) 6,025,000
2012 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . — 8,220,000
9. Income Taxes
The State of Texas imposes a margin tax that is assessed at 1% of taxable margin apportioned to Texas.
Accordingly, we have recorded tax expense for the Texas margin tax.
Income tax expense consists of the following:
Year Ended December 31,
2011 2010 2009
(Millions)
Current:
State . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $(0.8) $(0.7) $(0.5)
Deferred:
State . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.9
(0.5) 0.1
Total income tax benefit (expense) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 0.1 $(1.2) $(0.4)
We had net long-term deferred tax liabilities of $1.6 million and $2.5 million as of December 31, 2011 and
2010, respectively. The net long-term deferred tax liabilities are included in other long-term liabilities on the
consolidated balance sheets and are primarily associated with depreciation and amortization related to property.
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